Trade Union Bill

Sajid Javid Excerpts

Monday 14th September 2015 Commons Chamber

[The Secretary of State for Business, Innovation and Skills and President of the Board of Trade (Sajid Javid)]

I beg to move, That the Bill be now read a Second time.

I see two or more new faces on the Opposition Front Bench this afternoon, and I want to begin by congratulating my new opposite number, the hon. Member for Wallasey (Ms Eagle), on her appointment. She is certainly no stranger to Westminster; when she was first elected, I was just out of university. I believe that today marks the first time that our paths have crossed at the Dispatch Box, but I have long admired her skills as a parliamentarian and I look forward to working with her in the months ahead. I wish her all the very best.

I also want to take this opportunity to pay tribute to the hon. Member for Streatham (Mr Umunna). We disagreed on many things, except our choice of haircut, but it was always a pleasure to debate with him and I am sure that he will continue to serve and represent his constituents with the passion and dedication that he repeatedly showed at the Dispatch Box.

I am also delighted to welcome the new Leader of the Opposition, the hon. Member for Islington North (Jeremy Corbyn), to the Front Bench. I congratulate him on his resounding victory in the election and wish him the very best of luck in his new role. He and I have two things in common, Mr Speaker. The first is that you will never catch either of us trying to eat a bacon sandwich. The second is that, like Members on both sides of the House, we both came into politics because we wanted to leave the world a better place than we found it. Obviously, you could put a rather large piece of cigarette paper between our ideas on how to achieve that, but his goal is the same as mine: a society that is fairer, more transparent and more just, in which the needs of the many are not outweighed by the wants of a few.

[Jeremy Corbyn (Islington North) (Lab)]

He is going to withdraw the Bill.

[Sajid Javid]

That is wishful thinking by the new Leader of the Opposition.

Since the industrial revolution, Britain’s trade unions have done much to help to deliver that fairer society that I was describing. They have helped to secure higher wages, safer workplaces and stronger employee rights. They have fought for social justice and campaigned for freedom and democracy, and they have supplied the House with some of its most eloquent and influential Members, including Leaders of the Opposition.

Unions helped my father when he first worked in the cotton mills. They helped him again when a whites-only policy threatened to block him from becoming a bus driver. Just as the workplace has evolved and improved since that time, so the trade unions and the laws that govern them have developed too. I hope that, in 2015, no one would argue for the return of the closed shop, the show-of-hands votes in dimly lit car parks or the wildcat walk-outs enforced by a handful of heavies. That is why the Labour Government repealed not a single piece of union legislation during their 13 years in power. Now it is time for Britain’s unions to take the next step, and the Bill will help to achieve just that.

[Caroline Lucas (Brighton, Pavilion) (Green)]

The Secretary of State is pretending that the Bill is about democracy rather than being a vindictive attack on working people. If it is really about democracy and opening things up, why is he not lifting the ban on unions balloting online and in the workplace, which would be precisely the way to make a modern democracy work?

[Sajid Javid]

The hon. Lady will see that democracy and accountability are at the heart of the Bill—[Interruption.] She will see that a lot more clearly as I make progress with my opening remarks.

Despite what people may have read in some reports, this Bill is not a declaration of war on the trade union movement. It is not an attempt to ban industrial action. It is not an attack on the rights of working people. It will not force strikers to seek police approval for their slogans or their tweets. It is not a reprise of Prime Minister Clement Attlee sending in troops to break up perfectly legal stoppages. It is simply the latest stage in the long journey of modernisation and reform. It will put power in the hands of the mass membership; bring much-needed sunlight to dark corners of the movement; and protect the rights of everyone in this country—those who are union members and those who are not, and those hard-working men and women who are hit hardest by industrial action.

[Mr Dennis Skinner (Bolsover) (Lab)]

If this Bill was to be supported by the workers generally, some trade unions would already have given it support. This Bill is opposed by all those unions affiliated to the Labour movement and all those not affiliated to the Labour movement—even the Royal College of Nursing has said no to this Bill. It is a travesty and an intrusion upon the democracy of the workplace—get rid of it!

[Sajid Javid]

I am glad the hon. Gentleman has been able to get that off his chest. He will know, first, that the British people voted for this Bill at the general election and, secondly, that opinion poll after opinion poll has shown broad support for the measures we are discussing today.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

If this is such a fair and reasonable Bill, why does the right hon. Gentleman’s predecessor, Vince Cable, say that it is both “vindictive” and “unnecessary”?

[Sajid Javid]

There is a new Business Secretary in this Government and he is the one presenting this Bill.

Hon. Members from both sides of this House are, to some extent, insulated from the consequences of strike action. We are lucky enough to have generous travel expenses so that we can hire a car or a taxi when there is a transport strike. We have secure jobs, where we get paid whether we make it into the office or not. Even a Back Bencher is among the top 5% of UK earners, so we can afford to deal with the childcare costs that might come with a school closure or some disruption. But what about the low-paid restaurant staff who miss a day’s work and a day’s pay because of a stoppage called by a handful of transport workers? What about the self-employed builder who has to turn down a week-long job because a strike by teachers means that his kids cannot go to school? What about the single mother who cannot afford to lose a day’s pay by refusing to cross a picket line? Should she be subjected to abuse and harassment simply for going to work?

[Dawn Butler (Brent Central) (Lab)]

The Secretary of State talks about women on low pay. Many of these women and men do not have bank accounts, yet he is still trying to get rid of check-off, which makes it easier for people to join trade unions. How is that helping people to defend their own rights?

[Sajid Javid]

There is absolutely no relationship between check-off and bank accounts. Anyone who is able to take advantage of check-off must have a bank account in order to receive their salary in the first place.

I also want to talk about the impact on taxpayers, who have to fund the salaries of public servants, only for those public servants to spend their time on trade union business. Do taxpayers not have a right at least to know what their taxes are being spent on? These are the people who are not represented in current trade union legislation, and by increasing transparency, fairness and democracy, they are the people that this Bill will protect. [Interruption.]

[Grahame M. Morris (Easington) (Lab)]

That is outrageous. Have a bit of dignity.

On this issue of consistency, if the trade unions are going to have to pay for the enhanced services of the certification officer, does the Secretary of State believe that Members of Parliament should pay for the costs of our regulator, the Independent Parliamentary Standards Authority?

[Sajid Javid]

The hon. Gentleman will know that the certification officer is the regulator for trade unions, and it is perfectly usual for the regulator to be paid for by those whom they regulate.

[John Redwood (Wokingham) (Con)]

Does the Secretary of State agree that modern unions are at their best when they work with employers to get more skills, better training, higher quality work and better paid jobs, and that strikes are deeply damaging to the interests of the employees as well as the employers?

[Sajid Javid]

My right hon. Friend is absolutely right. At the heart of this Bill is partnership—partnership between trade unions and employers and other stakeholders. A great example of that can be seen at Toyota in Britain. It has not had one day of industrial action in 20 years, and that is because of the partnership that it rightly has with its trade union.

[Wes Streeting (Ilford North) (Lab)]

The Secretary of State is giving the House the impression that London commuters would somehow be protected by his threshold. Is he aware that the recent industrial action on the tube would have passed those thresholds? He talks about partnership. Is it not the case that it is not the strikes and the ballots that are the problems, but the intransigent Mayor of London who is sitting behind him?

[Sajid Javid]

I am coming on to thresholds, but the hon. Gentleman’s point proves that this is not some kind of ban on industrial action. Strike action can rightly still take place where there is clear support from the membership of the union.

Let me move on to thresholds. The whole point of strikes is to cause disruption, but the impact of industrial action on ordinary people—often the very working people whom unions were created to support—is such that it should ever be used only as a last resort. It should be taken only after the explicit backing of a majority of members. That is why this Bill sets a minimum turnout of 50% for industrial action ballots. If 1,000 union members are being asked to participate in a strike, at least 500 of them must vote for the ballot to be valid.

[Several hon. Members]

rose—

[Sajid Javid]

I will give way in a moment. In addition, strikes in certain public services will need the support of 40% of those eligible to vote. In our hypothetical 1,000-strong union, a successful ballot will require at least 500 votes to be cast with at least 400 of those being in favour.

[Mr David Winnick (Walsall North) (Lab)]

Despite the Secretary of State’s fine words about the trade union movement at the beginning, does he not realise that what he is saying about what this Tory Government are doing is a continuous Tory vendetta against the trade union movement? He should be thoroughly ashamed that he is bringing in this Bill and, just as in 1927, it will be a future Labour Government who will ensure that this rubbish is destroyed and that trade unions are given back their basic freedoms.

[Sajid Javid]

There was a time when Labour used to be the party of working people. We have seen evidence already this afternoon that it has given up on ordinary, hard-working people.

[David Rutley (Macclesfield) (Con)]

Has my right hon. Friend seen the words of Rob Williams from the National Shop Stewards Network? He said:

“The message must be simple—Cameron, we are going to take you down. If this goes into law, we want mass co-ordinated strike action.”

Does that further underline the importance of getting this Bill into place?

[Sajid Javid]

What that highlights is that, sadly, there are some trade union leaders who do not care about their members. They care about their own narrow interests and not the interests of their members or other hard-working people.

[Several hon. Members]

rose—

[Sajid Javid]

I will give way in a moment. I also wish to highlight the additional requirement for ballots of staff in six key sectors: the health service, the fire service, border security and nuclear decommissioning—because of the obvious risks to public safety and security—and education and transport. A ballot is required because of the massive disproportionate disruption that stoppages in those areas can cause.

[Barry Gardiner (Brent North) (Lab)]

What is the appropriate word to describe it when a person who feels that they have been dealt with unjustly seeks to withdraw their labour and is forced to work against their will?

[Sajid Javid]

I have already addressed the hon. Gentleman’s concern. This is not a ban on strike action. This is about ensuring that our rules are modern and right and fit for today’s workplace.

We have consulted on which occupations within those sectors should be subject to the additional 40% support threshold. The consultation closed last week and we are now reviewing the results. We will publish the Government’s response and details of the scope of the 40% threshold by the time the Bill is in Committee in the other place. As I have said, these measures will not make strikes illegal or impossible. If union leaders can make a genuine and compelling case to their members, they will have no problem securing the votes required. I believe that the vast majority of industrial action is unfortunate and unnecessary, but it is important that workers are able to go on strike. If union members truly want to do so, I will not stand in their way.

[Ian Lavery (Wansbeck) (Lab)]

If the rules for thresholds set out in the Bill were applied to the election of MPs, can the right hon. Gentleman say whether he would be an MP?

[Sajid Javid]

First, as I hope the hon. Gentleman knows, in a general election the electorate do not face a binary choice. Secondly, everyone affected by the result of a general election has the right to vote. When a union votes on industrial action, only its members have the right to vote. Therefore, it is absolutely right that there should be a clear, effective mandate.

[Stewart Malcolm McDonald (Glasgow South) (SNP)]

The right hon. Gentleman talks about having a mandate for this Bill. His party was wholly rejected in Scotland, so why does he not enter discussions with the Scottish Government to devolve trade union law to the Scottish Parliament?

[Sajid Javid]

First, as the hon. Gentleman will know, employment law and industrial relations are reserved matters. Secondly, as he is no doubt aware, the Conservative party won a majority at the United Kingdom general election.

[Richard Fuller (Bedford) (Con)]

My right hon. Friend was absolutely right to have a consultation on the additional 40% hurdle. He has talked about it in reference to the emergency services and other important services, but does he not agree that there is another issue: if we compare changes in strike action in the public and private sectors since the end of the last century, we see that over that 15-year period the number of strike days in the private sector has halved, but in the public sector the number has doubled?

--- Later in debate ---

[Sajid Javid]

My hon. Friend, as usual, makes an excellent point. That goes to the heart of the Bill and why we need these changes.

[Several hon. Members]

rose—

[Sajid Javid]

I will give way in a moment, but first I will make some progress, because many hon. Members wish to speak in the debate.

It is also important that any industrial action reflects the current will of union members. As things stand, that is not always the case. Union leaders can secure a mandate for industrial action and then keep using it for as long as they please. For example, in October 2013 the NASUWT justified a walk-out by citing a mandate acquired in November 2011, almost two years earlier. That is hardly a constructive approach to industrial relations.

[Yasmin Qureshi (Bolton South East) (Lab)]

Does the right hon. Gentleman not recognise that the reason the Opposition object to the Bill is that when people choose to go on strike they get only a tiny bit of strike pay, not their proper pay? They have responsibilities and families to support, so nobody goes on strike just for the hell of it; they do so because they need to.

[Sajid Javid]

I think that the hon. Lady will therefore agree with the changes we are proposing today. She is right that strikes should always be a last resort—I think that is the point she is making. If union members wish to take strike action, they will vote for it and meet the proposed thresholds.

[Chris Philp (Croydon South) (Con)]

The question of mandates was raised a few moments ago. Is the Secretary of State aware that when over 1,000 Londoners were polled by YouGov last month, 53% approved of these proposals and only 26% disapproved? Even among Labour voters the measures were approved of by 40 to 38.

[Sajid Javid]

My hon. Friend shows just how much support there is among the general public for these reforms.

[Andrew Bridgen (North West Leicestershire) (Con)]

Does the Secretary of State agree that one of the problems with the unions using historical mandates is that, because time has elapsed, many of the employees who voted for strike action may have retired or moved employment in the meantime?

[Sajid Javid]

That is exactly the point I am coming on to.

When old mandates are used, it is not fair on union members. As my hon. Friend said, a two-year-old mandate is unlikely to reflect the latest negotiations and would fail to reflect changes in the workforce. To ensure that any industrial action is based on a current mandate from current members, the Bill provides a four-month validity period after a ballot result is announced.

[Mr Jacob Rees-Mogg (North East Somerset) (Con)]

Is my right hon. Friend not showing with this legislation, once again, that the Conservative Government are standing up for people who want to work and against bullies who want to stop them? That is what fundamentally underlies his approach?

[Sajid Javid]

I thank my hon. Friend for highlighting how the Bill protects the rights of working people across the country when they are affected by strike action that has no proper mandate.

[Several hon. Members]

rose—

[Sajid Javid]

I must plough on, but I will give way later.

The Bill provides that voting papers sent to union members and employers will state the details of the trade dispute, exactly what type of industrial action is proposed, and an indication of the time period in which that action will take place. This will ensure that members know exactly what they are voting for or against and allow them to make an informed decision.

One of the valuable roles performed by unions over the years has been to defend workers from abuse, bullying and harassment at the hands of managers. There is no place for such behaviour in the modern workplace, and I applaud anyone who stands up against it. But bosses are not the only culprits. The independent Carr report contained shocking accounts of appalling bullying and harassment directed at non-strikers by trade union members. There were threats that included details of where workers’ children go to school, and abusive text messages warning, “We know where you live.” Photographs of non-strikers were posted online in a bid to shame them. Workers who had failed to support industrial action reported being punished by colleagues who deliberately saddled them with antisocial shift patterns or isolated them in the workplace.

It is not acceptable for managers to harass and abuse trade union members who take lawful industrial action. Nor is it acceptable for strikers to treat those who choose to work in the same way. While such abuses are doubtless the actions of a tiny minority of trade unionists, they should never be allowed to happen without consequences. The Bill makes it clear that such intimidation has no place in the modern workplace.

[Catherine West (Hornsey and Wood Green) (Lab)]

Is it not the case that this is just another instance of the Tory party no longer being on the side of people’s rights? There are no more rights. There is no longer a right to social security, legal aid or access to employment tribunals. The Conservative party is becoming much more authoritarian and Labour Members do not like it. It is no longer the party of rights. It used to have a fine tradition of rights, but that is disappearing.

[Sajid Javid]

It is a case of a one nation Government standing up for all working people across the country.

[Kevin Hollinrake (Thirsk and Malton) (Con)]

Why does the Minister think that since 2010 seven times as many strike days have been lost in the public sector as in the private sector, despite the fact that more people work in the private sector?

[Sajid Javid]

My hon. Friend highlights an important point. It reflects the fact that, unfortunately, public sector unions seem to have more leaders who do not want to represent the views of their members and will take strike action without a full and proper mandate.

[Several hon. Members]

rose—

[Sajid Javid]

I must move on.

The code of practice on picketing, which is already followed without difficulty by many unions, requires the appointment of a picket supervisor. The Bill will make that a statutory obligation. It does not add any new requirement that is not already in the code. The supervisor must either attend the picket line or be readily contactable by the union and the police and able to attend at short notice, and he or she must wear an armband or other means to identify them in order to ensure that picketing is peaceful and lawful.

In addition, we consulted over the summer on other measures to tackle wider intimidation. The consultation closed last Wednesday and we are considering whether the Bill should contain further provisions. We will set out our views on that consultation in due course.

[John Woodcock (Barrow and Furness) (Lab/Co-op)]

If the Secretary of State is so concerned about being even-handed in how he modernises strike law, why has he ruled out modernising how trade unions communicate and how strike ballots are sent out? Why is he focusing only on more punitive measures?

[Sajid Javid]

I assume the hon. Gentleman is referring to e-balloting, but I am concerned about fraud and that the identities of people voting in a secret ballot may be revealed. In fact, the Speaker’s Commission on Digital Democracy, which looked at the use of digital apparatus in elections, also shared those concerns. I do not think it would have been appropriate to suggest such changes.

Let me turn to political funds. The introduction of ballot thresholds will help ensure that unions reflect the will of their whole membership and that the views of every member count. Another way we are going to achieve that is through changes to the way in which political funds are managed.

[Ian Lavery]

The Secretary of State discounts e-balloting because of potential fraud. How about considering an amendment to the Bill with regards to balloting in the workplace, where there cannot be any fraud whatsoever? It will be democratised and there will be a huge turnout on every occasion, which is surely what the Secretary of State is seeking to implement.

[Sajid Javid]

I have clearly set out my concerns and we propose to make no change to the way in which ballots are carried out.

On political funds, first we will increase transparency on the way in which political funds are spent, helping members to make an informed decision about whether or not they want to contribute. The Bill places a duty on unions to report in greater detail on what annual expenditure over £2,000 is useful, helping members decide whether or not they want to pay into the fund. After all, freedom to choose without having all the facts is no freedom at all.

Secondly, unions will need to obtain the active consent of members to deduct a political levy. At present, members can, in theory, opt out, although many unions do not even tell new members that the political levy exists, let alone about them having to pay for it.

[Michael Ellis (Northampton North) (Con)]

Labour is in hock to and funded by the unions—[Interruption.] That is why Labour Members are making howls of protest. Is not it a fundamental right that people’s pay packets should not be interfered with, without them knowing exactly where the money and the dues are going? That is what this Bill seeks to achieve.

[Sajid Javid]

My hon. Friend is absolutely right. That money belongs to hard-working people. They should know exactly what is being done with it and that is at the heart of the proposal. In fact, in Northern Ireland, members have had an active choice for almost 90 years and their unions are still perfectly able to operate and to organise. The National Union of Rail, Maritime and Transport Workers and the Prison Officers Association still have more than four fifths of their members choosing to opt in. All we are asking is for a simple tick box on the same membership forms in England, Scotland and Wales.

[Peter Kyle (Hove) (Lab)]

My union, Community, has used the political fund to challenge Governments of all colours and even took the last Labour Government to the European Court and won on behalf of its members. Does the Secretary of State accept that the political fund is not just about putting money into political parties, but about holding the Government of the day to account?

[Sajid Javid]

I therefore hope that the hon. Gentleman will agree with the changes, because they support union members and will introduce more transparency. They will still allow the unions to raise the funds, but they will just have to be more open about how they do so and what they do with them.

[Richard Burden (Birmingham, Northfield) (Lab)]

The right hon. Member for Wokingham (John Redwood) said earlier that when unions and employers work together, results are achieved. That being the case, why does the Secretary of State want to overrule agreements made freely between unions and public sector employees about the appropriate amount of time that should be spent on union duties?

[Sajid Javid]

The hon. Gentleman has moved on to an issue that I will cover later in my remarks.

[Oliver Dowden (Hertsmere) (Con)]

Does my right hon. Friend agree that this is a simple matter of transparency? If people want to give money to the Labour party as union members, they should choose to do so. Indeed, if they do not actually choose to do so, the danger is that the unions are arguably guilty of mis-selling, because people do not know what they are buying when they join up for membership of a trade union.

[Sajid Javid]

My hon. Friend puts it very eloquently. This is an issue of transparency. It is about ensuring that when people, rightly, give money to any political party, they know that they are doing so and do it with their eyes wide open.

[Ian Lavery]

I thank the Secretary of State for giving away again. If this is about transparency, what about the hedge funds and big business, which donate fortunes to the Conservative party? Will legislation be put in place covering the need to ask shareholders and the workforce whether such donations can be made? That’s transparency.

[Sajid Javid]

I think the hon. Gentleman actually agrees with the rules that apply to businesses. When businesses make a political donation to whatever party, they rightly have to declare it and must be open and transparent. They often need the votes of their shareholders. These rules are absolutely consistent with that. The hon. Gentleman is surely not saying that there should be no transparency here.

[Dawn Butler]

The Secretary of State is being very generous with his time. On the point of businesses being open and transparent, should 40% of shareholders have to agree before a business can donate to a political party?

[Sajid Javid]

The hon. Lady will know that businesses or individuals have to declare it when they make a donation. It has to be transparent. All businesses have to declare their donations and will often have to get the permission of their shareholders. In public companies, those shareholders will receive a vote. These changes are entirely consistent with that. We are saying that if someone is a union member, they should know that some of their money is going towards political purposes. It should be open and transparent. That is not the case in England, Scotland and Wales. It is the case in Northern Ireland. If it works in Northern Ireland, it can work in the rest of the United Kingdom.

Turning to check-off, as the Minister for the Cabinet Office and Paymaster General has announced, a proposed amendment to the Bill will seek to end the practice by which union subscriptions are processed through payroll in public sector organisations. The so-called check-off system was created in a time before direct debits existed and serves no purpose in the modern workplace. It has already been abolished across Whitehall. The amendment will extend this modernising step to the rest of the taxpayer-funded workforce.

I respect Britain’s working men and women. I believe that they are perfectly capable of deciding for themselves whether they wish to support their union’s political activity and they are perfectly capable of paying their union subscriptions themselves. To suggest otherwise is to say that Britain’s union members are too lazy to set up a direct debit or too stupid to make a decision about politics. That is patronising in the extreme.

In the past few weeks, the Labour party has shown that it is possible actively to recruit hundreds of thousands of members to a support a cause and that it is possible to get hard-working men and women to hand over their hard-earned money to back an idea that they believe in. Not one of Labour’s new members signed up by mistake because they failed to tick a box. Not one of the registered supporters was required to pay their £3 through their employer’s payroll. Every new recruit to the Labour party made an active decision to participate. If the party born of the unions can achieve that, surely the unions themselves can do the same.

[Alan Johnson (Kingston upon Hull West and Hessle) (Lab)]

Will the Secretary of State explain why the Secretary of State for Work and Pensions is pursuing auto-enrolment for contributions to pension funds?

[Sajid Javid]

This is an issue about check-off, not auto-enrolment. Several Whitehall Departments have already begun the process to remove check-off, and now we will apply that process to all parts of the public sector.

On facility time, the Government have a moral duty to ensure that taxpayers get maximum value for money out of every penny they provide the Exchequer. With that in mind, it is hard to justify paying a public servant to do a vital job, only for them to spend their day working for another employer. Yet this is exactly what is happening in the public sector today.

[Angela Rayner (Ashton-under-Lyne) (Lab)]

Before I came to this place, I was a public sector worker—a home help—and an elected trade union official for a public service, after more than 200,000 members voted for me, and I can tell the Secretary of State that the work I did saved my local authority 10 times what I was paid in facility time. Does he agree that the Bill is anti-business and anti-working practice and that most employers that have trade unions recognise their value?

[Sajid Javid]

I wholeheartedly disagree with the hon. Lady. There is nothing wrong with an employee doing union work, but it should be open and transparent.

[Angela Rayner]

It is.

[Sajid Javid]

Then this will make it even more transparent. If the hon. Lady looks at the changes, she should be able to agree with them.

[James Heappey (Wells) (Con)]

Is it not an outrage that union officials can conduct union business on public time? Will the Secretary of State confirm that the first year of the Government’s controls on facility time in the civil service has seen a saving of £17 million?

[Sajid Javid]

I should emphasise that point: we are saving £17 million a year because of the transparency we have introduced into the civil service. It will no doubt have a similar impact on the rest of the public sector.

There are nurses, teachers and other public servants being paid a salary by the taxpayer while working for their union under the banner of facility time. There is no transparency around how much time they spend on union work and no controls in place to ensure that the taxpayer is getting value for money. It is a situation that most ordinary Britons, including many dedicated public servants I have spoken to, find absolutely baffling. That is why civil service Departments are already required to publish information about the use of facility time by their staff. The Bill allows the Government to make regulations extending that to all public sector employers. It will include information about an employer’s spending on trade union duties and activities and about how many of its union representatives spend a specified percentage of their time on their union role. We have already made considerable savings for the taxpayer by requiring Departments to publish this information, as we have just heard from my hon. Friend the Member for Wells (James Heappey). However, if transparency alone does not lead to further savings, the Bill also grants Ministers the power to set a cap on the time and money spent on facility time.

[Ruth Smeeth (Stoke-on-Trent North) (Lab)]

Will the Secretary of State agree with one of his own donors, JCB, which has people in facility full-time to encourage positive industrial relations? If it is good enough for the private sector, surely it is good enough for our public sector.

[Sajid Javid]

It is good enough for all sectors. There is nothing wrong with facility time—the Bill is clear about that—but it should be open and transparent, and the current rules do not ensure that.

[Chris Stephens (Glasgow South West) (SNP)]

Why have the Government not consulted the devolved Administrations and local authorities across the UK about facility time? They would tell him about its benefits, because these employers and organisations see the benefits of facility time.

[Sajid Javid]

I am a bit baffled by the hon. Gentleman’s question because there are three consultations that relate to the Bill. The main consultation is a nine-week consultation and it is open to every stakeholder in the United Kingdom, including those in Scotland.

Finally, the Bill enhances the role of the certification officer—a role that has served workers, unions and employers well over the past 40 years. It equips the certification officer with appropriate new powers for a modern regulator, such as allowing investigations to begin based on information from a variety of sources, without having to wait for specific complaints from union members.

For the first time, the certification officer will have the ability to impose financial penalties on unions that do not comply with statutory requirements—the very requirements that Parliament has deemed necessary. The Bill passes the cost of that regulation on to the unions. That is entirely in line with modern best practice. It is why banks fund the Financial Conduct Authority and why utility regulators are paid for by utility firms.

[Rob Marris (Wolverhampton South West) (Lab)]

The right hon. Gentleman is being very generous in giving way. I understand what he is trying to do with the Bill, but it makes some of us rather uneasy. That is true of the provisions on the certification officer who, hitherto, has been seen by both sides—I speak as someone who was a partner in a law firm with 1,000 employees, so I do know a bit about this—as a neutral arbiter or referee. The Bill politicises the role and, to the trade union side, appears to put the certification officer on one side of the divide, rather than keeping them as a neutral arbiter.

[Sajid Javid]

The hon. Gentleman should be assured that if that were the case, we would not have brought these changes forward. The certification officer’s role remains that of a neutral regulator, independent of Government—that will not change. What will change is the transparency, some of the powers that the officer has to carry out their duties and the way the officer is paid for. Just like other regulators, they will be paid for by the people they regulate and be independent.

In conclusion, in June 1966, Prime Minister Harold Wilson stood at this Dispatch Box and called union leaders of the day

“politically motivated men who…failed to secure acceptance of their views by the British electorate, but who are…forcing great hardship on the members of the union and their families, and endangering the security of the industry and the economic welfare of the nation.”—[Official Report, 20 June 1966; Vol. 730, c. 42-43.]

Since then, successive reforms have helped to modernise the union movement. Now, it is time to take the next step: to embrace the transparency that modern society demands of business and politics; to embrace the democracy that is at the heart of what makes Britain great; and to focus on the needs and demands of union members, rather than the views and ambitions of union leaders.

In our manifesto, we pledged to deliver further union reforms, and at the general election, that manifesto secured the clear acceptance of the British people. This is not about the Government versus the unions or the workers versus the bosses. It is about creating a modern legislative framework for modern industrial relations; about making unions partners in the workplace; and about ensuring that a handful of militants cannot force great hardship on their members and on the public, or endanger the economic welfare of the nation.

I started today by talking about how unions were instrumental in consigning the dark satanic mills to the history books, but the workplace of the 21st century is very different from that of the 18th century. The way in which union members work has changed. Now, it is time for the way in which trade unions work to change too. The Bill will make that change happen, and I commend it to the House.

[Mr Speaker]

I call the shadow Secretary of State for Business, Innovation and Skills, but not before we hear a point of order from Mr Jake Berry.

Oral Answers to Questions

Sajid Javid Excerpts

Tuesday 30th June 2015 Commons Chamber

[Alan Mak (Havant) (Con)]

1. What steps he is taking to support small and medium-sized businesses to become more competitive.

[The Secretary of State for Business, Innovation and Skills and President of the Board of Trade (Sajid Javid)]

Our business growth service provides expertise to ambitious firms who want to grow and become more competitive, and over this Parliament we will make extensive cuts to red tape which will save businesses £10 billion.

[Alan Mak]

I thank the Secretary of State for his answer. Headromance is a Havant-based hair salon launched in 2012 by two young entrepreneurs. It now employs 10 stylists and five apprentices. Will my right hon. Friend update the House on the measures this Government have taken to support the growth of apprenticeships?

[Sajid Javid]

I warmly welcome my hon. Friend to his place. I am not sure I would have much need of the services of Headromance—I am sure that applies to the shadow Business Secretary too—but that does not stop me warmly congratulating its owners on their success and in particular on backing apprentices. As my hon. Friend knows, during this Parliament we want to see apprenticeship starts rise to 3 million, and we have a number of measures in place to achieve just that.

[Robert Flello (Stoke-on-Trent South) (Lab)]

I draw attention to my entry in the register of interests. Many small and medium-sized freight businesses struggle with the cost of training drivers. Have the Government any plans to look at this afresh with a view to helping people train to become lorry drivers in the UK?

[Sajid Javid]

As the hon. Gentleman will know, it is very important for the Government to listen to all industries about their skills and training needs, including for freight drivers. Of course, the option of apprenticeships is open to that industry, but we must look at other measures too.

[Mike Wood (Dudley South) (Con)]

The business rates system is one of the major barriers to competitiveness for small and medium-sized enterprises. What plans do Ministers have to reform and alleviate some of that burden?

[Sajid Javid]

My hon. Friend will know that the Chancellor announced a full review of business rates in the last Budget. It is important to note that although that will be a proper full review looking at what sensible changes can be made, it will stay fiscally neutral, so it will not be possible to satisfy everyone.

[Peter Kyle (Hove) (Lab)]

Brighton and Hove is the most entrepreneurial city in the country but still lags behind the region for productivity. What is the Secretary of State doing to increase productivity among small businesses?

[Sajid Javid]

There are a number of actions that Government can take, and some of them were taken by the coalition Government and are now bearing fruit, such as cutting taxes and the employment allowance. During the lifetime of this Parliament, there will be a big focus on productivity, and there will be further measures, including on deregulation.

[Rishi Sunak (Richmond (Yorks)) (Con)]

The last Labour Government had an appalling record on regulation, introducing something like six new regulations a day. What does my right hon. Friend think that did for the productivity of small and medium-sized companies in the UK?

[Sajid Javid]

I welcome my hon. Friend to the House, and he is absolutely right: the last Labour Government had an appalling record on so many things, including regulation, and the more we can keep the red tape challenge going, and our policy of one in, two out, the more we will help businesses.

[Jim Shannon (Strangford) (DUP)]

In Northern Ireland 99.9% of small businesses are the core of the industrial base. They create some 347,000 jobs. What can the Secretary of State do to ensure that those jobs can be retained and more jobs can be created?

[Sajid Javid]

The hon. Gentleman is right to point out the importance of small businesses, particularly in the context of Northern Ireland. He will know that many of the policies that impact on small businesses in Northern Ireland are devolved, but there are a number where we can make an impact through the UK Government. One is foreign investment, which has been going up in Northern Ireland, and we will continue to focus on that.

[David Morris (Morecambe and Lunesdale) (Con)]

2. What steps he is taking to simplify regulation for self-employed people.

[The Secretary of State for Business, Innovation and Skills and President of the Board of Trade (Sajid Javid)]

The enterprise Bill will help to save businesses £10 billion through further deregulation. We have committed to launching a review into tackling the specific disadvantages faced by the UK’s 4.5 million self-employed.

[David Morris]

I thank my right hon. Friend for that answer. As the self-employment ambassador, the issue of the IR35 constantly crops up when self-employed people write to me. Can we meet to see how we can simplify this?

[Sajid Javid]

I thank my hon. Friend for the work he has done and continues to do as self-employment ambassador. I would be delighted to meet him to discuss how we can make the system fairer, quicker and simpler for the self-employed. He will know that tax policy, in particular, is an issue for the Treasury, and I will bring it to the attention of my hon. Friend the Financial Secretary.

[Marie Rimmer (St Helens South and Whiston) (Lab)]

The number of self-employed people is growing, but they are often disadvantaged and face additional burdens when applying for a mortgage or to set up a pension scheme for themselves. What steps is the Minister taking to ensure that these barriers are not erected and do not attack the self-employed?

[Sajid Javid]

The hon. Lady is right to point out that issue. She may know, as I am sure she read it carefully, that the Conservative party had a very pro-business manifesto. We have rightly committed ourselves to having a review of the challenges faced by self-employed people and their businesses, and that would include looking at the issue she raises: access to mortgages.

[Mr Philip Hollobone (Kettering) (Con)]

The self-employed in Kettering and across the country are the unsung heroes of the economic recovery, yet their terms and conditions, with no sick pay, no holiday pay and inadequate pension provision, are akin to those on zero-hours contracts. What will the Secretary of State do in this Parliament to ensure that the rewards for the self-employed, with their enterprise and endeavour, are properly recognised?

[Sajid Javid]

My hon. Friend, as usual, is spot on. He should know that this review will look at precisely those issues. A number of challenges are faced by the self-employed and it is about time the Government took a careful look at them. That is exactly what we will be doing.

[Andrew Gwynne (Denton and Reddish) (Lab)]

The Government’s universal credit plans are set to burden 600,000 self-employed people with additional red tape requiring them to provide a new set of monthly accounts. Given that the Secretary of State is responsible for cutting red tape, what is he doing about that? What is he doing to put self-employed people first?

[Sajid Javid]

The hon. Gentleman will know that the universal credit plans are essential to make sure that work pays, and I would have thought he would support that. On the issues that it might raise for small businesses and the self-employed, it is important that we look at the net burden of regulation on businesses and keep reducing it.

[Ian C. Lucas (Wrexham) (Lab)]

3. If he will implement an active and interventionist industrial strategy to assist economic growth in the UK.

[The Secretary of State for Business, Innovation and Skills and President of the Board of Trade (Sajid Javid)]

The biggest challenge facing the economy is improving productivity, and that challenge varies by sector. Dialogue with business, including through the sector councils, as part of our industrial approach, is key to addressing this issue.

[Ian C. Lucas]

As a member of the last Labour Government, I am very proud that the Labour party, in government, established the Automotive Council, which has provided the framework for the most successful decade in UK car production for a very long time. Will the Secretary of State confirm that he will not, on the altar of ideology, endanger that success?

[Sajid Javid]

I look forward to working with the Automotive Council. In fact, I have already had a meeting with it and I told it something the hon. Gentleman would agree with, which is that the automotive industry is one of the brightest stars in the constellation of British business.

[Mr Steve Baker (Wycombe) (Con)]

May I reassure my right hon. Friend that if he does wish to follow a more liberal policy than his predecessor, he will have plenty of support from Conservative Members?

[Sajid Javid]

I can tell my hon. Friend that we will have active dialogue with various industries, across sectors, and we will make sure that we are listening and seeing what the Government can do.

[Andy McDonald (Middlesbrough) (Lab)]

Given tomorrow’s eagerly awaited announcement by the Teesside Collective on its ambitious industrial carbon capture and storage proposal, will the Minister, with his colleagues, ensure that industrial, energy and climate change policies are aligned and that every other assistance is given to the collective in bringing about an early realisation of this vital project?

[Sajid Javid]

I have listened very carefully to the hon. Gentleman, and if he would like to furnish me with more information about the Teesside Collective and how we can help, I would be happy to take a look.

[Mr David Jones (Clwyd West) (Con)]

The Government’s northern powerhouse strategy has the potential to offer huge benefits to north Wales. What discussions has my right hon. Friend’s Department had with the Welsh Government with a view to developing it?

[Sajid Javid]

As my right hon. Friend will know, this is a one nation Government. We want to make sure that, as the economic recovery continues, it includes every part of the UK, and that will of course include Wales. We are more than ready to talk to the Welsh Government. I have had a number of discussions with my right hon. Friend the Secretary of State for Wales, who at this point is a lot more interested than the Welsh Government in economic development in Wales.

[Stephen Doughty (Cardiff South and Penarth) (Lab/Co-op)]

The Chancellor says that he supports modern industrial policy and the Prime Minister has said that he wants an active industrial policy, but, according to the Financial Times, the new Business Secretary has told officials in the Department that they should not talk about industrial policy. Now we hear him talking about an “approach”. Can he tell industries around the country whether he still has an industrial policy and, if so, what on earth it is?

[Sajid Javid]

I think I have already answered the hon. Gentleman’s question, but I am happy to repeat that answer. This Government will have an active dialogue with all industrial sectors. We will listen to their needs on skills, infrastructure and training, and work with them. That includes the sector councils. We will also make sure that we are open to new industries, to competition and to disruptive industries, and that we become the most open economy in the world.

[Anna Turley (Redcar) (Lab/Co-op)]

4. What recent assessment he has made of the effectiveness of the Government’s strategic support for industries and sectors.

[The Secretary of State for Business, Innovation and Skills and President of the Board of Trade (Sajid Javid)]

In preparation for the forthcoming spending review, I am assessing the effectiveness of BIS policies, including strategic support for industry. We will continue an open dialogue with business, including through sector councils.

[Anna Turley]

A long-term industrial strategy is vital for my constituency, which boasts a major chemical process complex in Wilton. Recently, the workforce have been taking to the gates because they believe that long, hard-won, nationally agreed terms and conditions are being undercut on the site. What assurance can the Minister give me, and what steps is he taking to make sure, that nationally agreed terms and conditions are being applied on such sites, and that the British workforce are not being undercut by recruitment from overseas?

[Sajid Javid]

I welcome the hon. Lady to her place. I know that a number of industries, including the one that she has mentioned, are important to Redcar. I am more than happy to take a closer look at the issue that she raises. I am afraid that I do not know the details of it, but if she would like to furnish me with them, I or my right hon. Friend the Minister for Small Business, Industry and Enterprise will take a closer look.

[Tom Pursglove (Corby) (Con)]

Steel producers are an important employer in Corby. Will my right hon. Friend meet representatives of the steel all-party parliamentary group, who are working closely together, to talk about strategic support, especially on carbon taxation?

[Sajid Javid]

I welcome my hon. Friend to his place and congratulate him on his work to help the steel industry to meet those challenges. I will be more than happy to meet him and representatives of the APPG and see what more we can do, especially on the high energy costs that the industry faces.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

I have previously suggested a strategic support mechanism for the open-cast coal industry—a carbon tax exemption for specific sites. An independent economic analysis suggests that an exemption with a value of £195 would produce a net income to the Treasury of £57 million and would also allow the sites to be restored. Will the Secretary of State consider that urgently and work with the Treasury to include the exemption in the July Budget or, following a previous offer, meet me to discuss it?

[Sajid Javid]

Steel is a very important industry, employing thousands of people in Britain. It is important to see what we can do to help, so I or my right hon. Friend the Minister for Small Business, Industry and Enterprise will be more than happy to meet the hon. Gentleman.

[John Pugh (Southport) (LD)]

What plans, if any, do the Government have to make local enterprise partnerships more democratically accountable? They have more funds than the regional development agencies, but are less accountable.

[Sajid Javid]

It is right that LEPs are business-led, but it is also important that they include democratically elected people, and that is how they are working. It is important to review LEPs after a few years of operation and to ensure that they are truly accountable.

[Huw Irranca-Davies (Ogmore) (Lab)]

5. What steps his Department plans to take to improve productivity in businesses and industries.

[The Secretary of State for Business, Innovation and Skills and President of the Board of Trade (Sajid Javid)]

Productivity growth ultimately comes from business and the hard-working people of Britain, but the Government can, of course, help. That is why my Department is working closely with the Treasury on a forthcoming productivity plan.

[Huw Irranca-Davies]

The Minister is right about the reliance on individual workers to drive up productivity and about what the investor community can do as well, but he will know that the Office for Budget Responsibility has said that if productivity per worker was 4% higher during this Parliament, that would have a significant effect on reducing the national debt, and correspondingly, that if it was not, the national debt could rise. Does he agree with this rather gloomy assessment and, if so, what does he think the figures for individual growth per worker will be by the end of this Parliament?

[Sajid Javid]

The hon. Gentleman will know that the UK has had a long-running productivity challenge, which was made all the worse by Labour’s great recession. An increase in productivity is the surest way to raise real wages and I can assure him that it will be a major focus of this Parliament. We will shortly publish a productivity plan which I hope will reassure him that the Government take this very seriously.

[Neil Carmichael (Stroud) (Con)]

Does the Secretary of State agree that in challenging the productivity problem, we need to address our minds to skills and making sure that we have the appropriate pipeline of skills running through the education system to the businesses that desperately need them?

[Sajid Javid]

I congratulate my hon. Friend on becoming Chair of the Education Committee. He is right to talk about the link between better skills and increased productivity, and I hope that in his new role he can make a valuable contribution to that.

[Michelle Thomson (Edinburgh West) (SNP)]

Given that we are five years into the long-term economic plan and regrettably our productivity is 17% lower than the average among G7 economies, with growth in the EU 5% over the same period, why does the Minister believe that productivity will rise during the lifetime of this Parliament, since it fell during the last Parliament?

[Sajid Javid]

I welcome the hon. Lady to her place. She is right to point out the challenges of productivity, which have been a long-term challenge for this country. I hope she recognises that over the past five years the previous Government did a huge amount to turn around the economic fortunes of this country. We are the fastest-growing country in the G7, and just today we saw the Office for National Statistics revise growth figures for last year. That means thousands of jobs throughout Britain, including Scotland, making us the jobs factory of Europe.

[Michelle Thomson]

The Scottish Government, of course, are focused on growing our economy, using our four Is—innovation, internationalisation, investment and inclusion. Will the Minister support the Scottish National party call for a change to remove the sudden decrease in the investment allowance from £500,000 down to £25,000 from 1 January 2016 to help continue our success?

[Sajid Javid]

If the SNP wants to help business in Scotland, it should look at deregulating much more. In many of the areas that are devolved to Scotland, whereas the UK Government have been working hard to cut regulation, the Scottish Government have been working hard to boost regulation. Deregulation is one of the best ways to help productivity and growth in Scotland.

[Rebecca Pow (Taunton Deane) (Con)]

6. What discussions he has had with the Secretary of State for Culture, Media and Sport on the importance of superfast broadband to rural businesses.

--- Later in debate ---

[Kit Malthouse (North West Hampshire) (Con)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Business, Innovation and Skills and President of the Board of Trade (Sajid Javid)]

May I first pay tribute to my predecessor, the equally hirsute former Member for Twickenham? As part of the coalition Government, Dr Cable did a great deal to support British business.

Speaking of former members, I see that last month Lord Sugar resigned his membership of the Labour party, citing its negative business policies and general anti-enterprise approach. It seems that while the Government are busy creating 3 million more apprenticeships, Lord Sugar has told the Opposition that they are all fired.

[Kit Malthouse]

As a small businessman—I draw the attention of the House to my entry in the Register of Members’ Financial Interests—I welcome the Government’s work in the past four years to roll back the red tape that has dogged small businesses. Now that the Government are firmly in control of the Department, can Ministers reassures us that they will redouble their efforts? In particular, will they develop measurable targets, for cutting red tape and administration for small business, against which we can measure success?

[Sajid Javid]

I fully agree with my hon. Friend. We will continue to work very hard to cut regulations, building on the very successful red tape challenge in the previous Parliament and the policy of one in, two out. Cutting regulation for businesses is like a tax cut for those businesses. The only difference is that it does not cost the Exchequer anything, so we should cut as much regulation as possible.

[Mr Chuka Umunna (Streatham) (Lab)]

Britain has the worst productivity in the G7, bar Japan. Proper adult skills provision, not just apprenticeships, plays a vital role in addressing that, but the adult skills budget has been cut by 35% in the past five years. Now the Chancellor tells us that a further £450 million is to be taken out of the Department’s budget, which could lead to the end of further education as we know it. In the light of these very real concerns, what assessment has the Business Secretary undertaken on the risks posed for the sector? Will he now guarantee that no college will close as a result of what he and the Chancellor are going to do?

[Sajid Javid]

One of the most important things for businesses, and for a vibrant economy, is making sure we continue to deal with the record budget deficit we inherited from the previous Labour Government. The hon. Gentleman knows that himself. He has been busy telling the press very recently:

“to be running a deficit in 2007, after 15 years of economic growth, was…a mistake.”

He understands the importance of this, and it means the Government have to make difficult decisions. He also said very recently to the Financial Times that

“We are starting from square one.”

I think he was talking about the economic credibility of the Labour party. I do not think that was an accurate statement; I think he was—

[Mr Speaker]

Order. The Front-Bench exchanges have to be brief. A lot of Back Benchers want to get in. It is very self-indulgent to have these long-winded exchanges from the Front Bench.

[Mr Umunna]

When consolidating, you have to make appropriate choices—you do not want to cut off your nose to spite your face. If we want to increase revenue, we need to increase productivity. Look at South Gloucestershire and Stroud College, which the Secretary of State attended: this month it confirmed that 70 staff posts are in danger due to the reduction in its adult learning funding. The principal of that college said:

“we need to reduce our costs in line with the reduction in funding to maintain our solvency.”

Should the alarm bells not be ringing when his own college is citing issues of solvency before we have seen the full scale of what he is going to do to the productive capacity of the economy?

[Sajid Javid]

It was an excellent college—[Hon. Members: “Was!”] And it still is. I know many people who attend the college and they speak of it very highly. The important point is that all colleges, not just that college, have the resources they need to do their jobs. We will not put that at risk, especially as they continue to invest in apprenticeships, which are one of the surest ways to give people the training they want and to ensure they have skills that are wanted in the marketplace.

[Bob Blackman (Harrow East) (Con)]

T3. I have been contacted by further education colleges in my constituency that are concerned about the decisions being made in-year to reduce funding. Will my right hon. Friend lay out a strategy that enables colleges to have a five-year programme, even if it means a gradual reduction in funding?

[Jeff Smith (Manchester, Withington) (Lab)]

T2. Will the Secretary of State tell me what discussions he has had with the Secretary of State for Transport to ensure that business and growth do not suffer as a result of the delay to the electrification of the trans- Pennine line?

[Sajid Javid]

I was disappointed by that recent news, because it is important that we continue to invest in infrastructure—not least for increased productivity and, therefore, jobs growth. I have not yet had a discussion with the Transport Secretary, but I am looking forward to doing so.

[Mr Christopher Chope (Christchurch) (Con)]

T5. Does my right hon. Friend think that the CBI’s poverty of ambition for a radical new relationship with the EU is attributable to the fact that the CBI receives funding from the EU?

[Sajid Javid]

The point I made yesterday to the CBI was not just about the CBI, but was a call to all business groups. The best way to get the EU reforms that many of them seek is for them to help the Government with their negotiations, speak to their partners in other European countries and then make up their minds at the end of the process.

[Simon Danczuk (Rochdale) (Lab)]

T4. I am sure the Secretary of State will agree that helping businesses to grow and develop is a key aim of the devolution and northern powerhouse agendas. Will he explain, therefore, why the word business does not appear anywhere in the Cities and Local Government Devolution Bill?

[Sajid Javid]

Not only do I agree with the hon. Gentleman about the importance of business, but my father’s first business began in his constituency, so I understand the importance of this to people in Rochdale and elsewhere. It is important that the word “business” and the importance of business appear throughout Government policy, as they do in the Conservative manifesto and, as I am sure he will hear next week, in the Budget.

[Paul Maynard (Blackpool North and Cleveleys) (Con)]

T6. Low-paid workers in my constituency will have been pleased to see the first above-inflation rise in the minimum wage since the financial crash, but what more can the Government do to encourage employers to pay the living wage where affordable?

--- Later in debate ---

[Mr Iain Wright (Hartlepool) (Lab)]

May I congratulate the Secretary of State on his appointment and wish him and his ministerial team every success? On Thursday, he announced the sell-off of part or all of the UK Green Investment Bank, but it is unclear what proportion will be sold off. When it was established in 2012, the bank’s impact assessment said it was the only option that addressed market failure and barriers. How have these market failures been fully addressed and how will the Government’s sketchy plans for the most active green investor in the UK not undermine market confidence?

[Sajid Javid]

I congratulate the hon. Gentleman on being elected Chairman of the Business, Innovation and Skills Select Committee and look forward to working with him. Since it was set up three years ago, the UK Green Investment Bank has been very successful. In fact, this year, for the first time, it is expected to turn a profit. I want to make it stronger and even more successful, however, and one of the best ways to do that is to ensure it can access both private capital and private equity—

[Mr Speaker]

Order. I call Michael Tomlinson.

--- Later in debate ---

[Susan Elan Jones (Clwyd South) (Lab)]

The Secretary of State will be aware of the great concern about the Government’s failure to meet export targets. With UK Trade & Investment’s own surveys saying that more than a quarter of businesses reckon that there is no business benefit from UKTI, how does he propose to deal with this problem?

[Sajid Javid]

We have seen some growth in exports over the last five years, but not enough. This remains a challenge, which means looking carefully at UKTI and improving what it does. That is exactly what the Minister for Trade and Investment, Lord Maude, is doing. The hon. Lady may know that we have seen record inward investment, which is also important and a job of UKTI to promote. It has now topped £1 trillion—the highest in Europe.

--- Later in debate ---

[Gavin Robinson (Belfast East) (DUP)]

Has the Secretary of State had an opportunity to consider last week’s report from the Northern Ireland Consumer Council, which highlights the barriers to online consumers getting postage to Northern Ireland, the islands or the highlands of the United Kingdom? What steps can the Secretary of State take to create, dare I say it, a “one nation” consumer market where the inhibitors and the barriers are removed once and for all?

[Sajid Javid]

I have not yet had an opportunity to look at the report, but now that the hon. Gentleman has mentioned it, I shall certainly do so, and I shall then be able to respond to him on the issue that he has raised. He may be interested to know, however, that just today it was reported that consumer confidence throughout the United Kingdom had hit a 15-year high, which means that the Government’s long-term economic plan is working.

[Several hon. Members]

rose—

Oral Answers to Questions

Sajid Javid Excerpts

Thursday 26th February 2015 Commons Chamber

[Grahame M. Morris (Easington) (Lab)]

1. What recent discussions he has had with the Premier League on funding for grass-roots sport.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

The Under-Secretary of State, my hon. Friend the Member for Maidstone and The Weald (Mrs Grant), who is responsible for sport, and I have regular discussions with the Premier League and the Football Association. Together we work in partnership to ensure that funding for grass-roots football remains strong.

[Grahame M. Morris]

I thank the Secretary of State for his answer, but does he recognise that there is a growing crisis in grass-roots football, in terms of facilities, pitch quality and fees, which local authorities have often been increasing because of local government cuts? Will he back Labour’s call for the Premier League to use some of its new windfall to meet its 5% commitment to fund grass-roots football?

[Sajid Javid]

I join the hon. Gentleman in his suggestion that there should be more investment in grass-roots football, and he will know that the Government allocated more money in the last autumn statement. Together with the Premier League and Football Association money, that is £100 million of new money going into grass-roots football over the next three years. On his point about the Premier League, I should say, first, that the Premier League already does a lot—I welcome that and we should all commend it. However, with the recent increase in its finances, we can all expect it to do more.

[Damian Collins (Folkestone and Hythe) (Con)]

Moving the FIFA World cup in 2022 to the winter could have significant financial consequences for the Premier League and for all levels of football in England and Europe. Will the Secretary of State be raising this issue with FIFA? Will he be discussing it with other European Sports Ministers?

[Sajid Javid]

A few years ago when it was first announced that the 2022 World cup would be held in Qatar, my son Suli, who was 10 at the time, said to me, “How are they going to hold this competition in such blazing heat?” If my 10-year-old son knew that, I do not know why Sepp did not. We take a close interest in this, but ultimately the decision has to be made by the relevant football authorities.

[Mr John Leech (Manchester, Withington) (LD)]

Previous TV deals with the Premier League have not resulted in comparable increases in funding for the grass roots and football family. Does the Secretary of State accept that the only way of guaranteeing future funding is for this Parliament to legislate to ensure that 5% of Premier League revenue goes to the grass-roots and football family?

[Sajid Javid]

I do not accept that there is a need for legislation. What there is a need for is a continued and active dialogue between Government and the Premier League to make sure that its investment in grass-roots football continues. As I said, given the recent news that the Premier League had of a windfall, we should encourage it to do more.

[Tom Greatrex (Rutherglen and Hamilton West) (Lab/Co-op)]

2. What assessment he has made of the role of film festivals in promoting the creative industries in the UK.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

Film festivals make a valuable contribution to promoting the film economy and enhancing the cultural life of the UK. In addition to running two festivals of its own, the BFI, as the Government’s lead agency for film, provides £1 million of lottery funding each year to support film festivals right across the UK.

[Tom Greatrex]

I thank the Secretary of State for that reply. I am sure he will be aware that one festival the BFI helps to fund is the Glasgow film festival, the UK’s third largest and best festival, which is under way in Glasgow and is finishing on Sunday with the UK premier of “Force Majeure”. He has talked about the BFI funding, but given that the BFI’s grant in aid budget will be 10% lower next year than it was last year, what is he going to do to ensure that film festivals such as Glasgow’s continue to get that vital support?

[Sajid Javid]

Like the hon. Gentleman, I am delighted about the Glasgow film festival, which I believe is in its 10th year and which is going from strength to strength. He will know that it has received funding: it has been awarded £25,000 by the BFI this year, which is a good result. As well as the grant in aid funding, the BFI has access to lottery funding, which it is using wisely. That is partly reflected in the success of British film: just last year we had a record year of investment in British film and of success, and I am sure that he would join me in welcoming that.

[Mr Speaker]

We assume the hon. Gentleman is not auditioning for the lead role in the said film.

[Sajid Javid]

If my hon. Friend had auditioned, a different decision might have been made!

There has been an increase in the number of films made in the regions of the UK. “Dracula Untold” was recently made in Northern Ireland. We have had “Outlander” in Scotland, “Testament of Youth” in Yorkshire and “Far from the Madding Crowd”, which is set in Dorset, to name but a few, so there has been great success in regional films. What my hon. Friend says about Shropshire is quite right. There are some fantastic locations and there is some fantastic talent in Shropshire, and I think the film industry should be listening.

[Ms Harriet Harman (Camberwell and Peckham) (Lab)]

In a week when we have seen British success at the Oscars and London Fashion Week, and last night at the Brits, no one should be in any doubt about the importance of our film, fashion and music industries and all our creative industries. The basis of future jobs and investment in those creative industries depends on the protection of intellectual property. Will the Secretary of State ensure that, in consideration of the European digital single market, he will be absolutely vigilant to protect our creative industries, including small and medium-sized enterprises, and ensure that he rethinks the paper that the Prime Minister sent to Juncker, which would allow for changes that would pose a real threat to many independent projects? Will he insist that there is time for proper consultation before its implementation?

[Sajid Javid]

The right hon. Lady is right about the importance of intellectual property to our creative industries. One of the reasons why we have been successful in this area for many years is that as a Government we have taken the right approach. It is right that the EU looks at the issue. It will be a good thing in principle for the creative industries throughout Europe to have a better single digital market, but we must take a well-balanced approach. The paper that the right hon. Lady refers to was a discussion paper. The Government have not decided on their final policy or approach, and there should be more consultation.

[Mark Lazarowicz (Edinburgh North and Leith) (Lab/Co-op)]

3. For what proportion of parliamentary constituencies the 95% target for the roll-out of superfast broadband will be reached by 2017.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

Ninety-five per cent. of the UK will have access to superfast broadband by 2017. I have placed our estimate of coverage by constituency in the House of Commons Library.

[Mark Lazarowicz]

I can tell the Secretary of State that thousands of people in my constituency, one of the most urban in Scotland, have no guarantee of getting superfast broadband by 2017 or any date after that. I have raised this with local government, the Scottish Government and the UK Government. I do not want to ascribe blame; I want to see some action so that the residents who have contacted me again and again, such as the ones in Western Harbour, Leith who contacted me recently, will have some guarantee that they will get superfast broadband in their houses.

[Sajid Javid]

The hon. Gentleman is right to raise the importance of superfast broadband both to residents and to businesses. Considerable progress has been made in his constituency in the past five years. Today, 87% of homes and businesses there have access to superfast broadband. That will rise to 98% by 2017, and that is better than the national target of 95% by that time. However, I hear what he says, and he is right to mention the importance of the issue.

[Mr David Nuttall (Bury North) (Con)]

The villages of Affetside and Holcombe in my constituency will not be covered by the roll-out of superfast broadband in phases 1 or 2, so when villagers ask me when they will be covered, what should I tell them?

[Sajid Javid]

My hon. Friend raises a very important point. He should tell those villagers that the Government have an active programme to reach the most remote areas with superfast broadband. He will be interested to know that in the middle of last year we undertook a pilot, with seven projects using mostly wireless and other types of hybrid technology. We are now having a good look at the results of that pilot, and I shall be able to make a further announcement shortly.

[Kate Green (Stretford and Urmston) (Lab)]

Businesses in my constituency, from farmers in Carrington to multi-million pound exporters on Trafford Park, complain that they are still waiting for superfast broadband. They are paying 10 times the price for one fifth of the speed, with a damaging effect on their business. These are not remote rural areas; they are a stone’s throw from Manchester city centre. Can the Secretary of State explain why they are waiting so long for the basic support that their businesses need?

[Sajid Javid]

There has been a significant improvement in superfast broadband access over the past five years. Coverage throughout the UK has doubled from 40% to 80%. We have the best coverage among large EU nations and the highest average speeds, as well as the lowest average prices in Europe, but we can still do better. In urban areas, it is difficult, if not sometimes impossible, for the Government to provide a subsidy, as they do in non-commercial areas, but I am looking actively at what more we can do in urban areas.

[Mr Alan Reid (Argyll and Bute) (LD)]

The experience of my constituents this winter is that it is too easy for BT to declare MBORC—matters beyond our reasonable control—and then to take months to repair faults, or not turn up for appointments. Will the Secretary of State examine BT’s licensing conditions with a view to tightening up the rules so that it cannot just use the MBORC cop-out?

[Sajid Javid]

This important issue has been raised several times, and Ofcom frequently looks at the role of organisations such as BT to ensure that the market is as competitive as possible. However, I will take a closer look at the situation in my hon. Friend’s area.

[Mike Kane (Wythenshawe and Sale East) (Lab)]

14. I have been working with the Altrincham and Sale chamber of commerce, which tells me that it is vital that businesses club together to ensure that communication nodes go to more remote parts, even in urban areas. Does the Secretary of State agree that it is vital that businesses co-operate to ensure that they can get the broadband they need?

[Sajid Javid]

I do agree with the hon. Gentleman. He will know that we offer vouchers for businesses in more than 22 cities under the superconnected cities programme, of which more than 10,000 companies have taken advantage. Many of the companies have clubbed together and I encourage others to do so.

[Mr Philip Hollobone (Kettering) (Con)]

Villages in the borough of Kettering on the Northamptonshire-Leicestershire border—right in the middle of England—will be among the last to get broadband, at the end of 2017, yet innovative cross-border thinking involving BT exchanges on the other side of the county boundary might bring about a quicker solution. Will the Secretary of State encourage such an innovative approach?

[Sajid Javid]

I absolutely agree with my hon. Friend, who has taken a strong interest in this matter. I have heard him speak in the House on behalf of his constituents on a number of occasions, and once again he comes up with an excellent idea, which we shall follow up.

[Tessa Munt (Wells) (LD)]

The Government’s own figures show that Somerset’s rate of access to superfast broadband is only 41%, which hardly meets the needs of rural businesses and residents. Connecting Devon and Somerset allows bids from other suppliers in the Dartmoor and Exmoor national parks, but I understand that, because of the reason of screening of information, only BT, as a monopoly supplier, will be able to bid for the second phase. I have written to the Competition and Markets Authority; will the Secretary of State do the same and investigate exactly what has happened?

[Sajid Javid]

As my hon. Friend raises a specific issue, I will have to take a closer look at it. I am glad that she has written to the Competition and Markets Authority, but if this is a competition issue, it should be dealt with by the independent regulator. However, if there is more that she thinks I can do, I shall take a closer look.

[Christopher Pincher (Tamworth) (Con)]

4. What assessment he has made of the contribution of tourism to the economy.

--- Later in debate ---

[Ian Lucas (Wrexham) (Lab)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

In the past month, British talent has enjoyed incredible success at the Grammys, the Baftas, the Brits and the Oscars. That is just another demonstration of the way in which this country’s creative industries lead the world. I am sure that the House will join me in congratulating all our award-winning actors, film makers and musicians, no matter what school they went to.

[Ian Lucas]

BBC news coverage in north-east Wales is poor. Does the Secretary of State agree with the proposal in today’s Culture, Media and Sport Committee report that the BBC should work closely with local news organisations to improve regional news coverage?

[Sajid Javid]

I warmly welcome the report, which I shall study very closely. It is an important contribution to the future of the BBC, and all its suggestions, including the one the hon. Gentleman mentions, will be taken account of when the charter review process starts.

[Christopher Pincher (Tamworth) (Con)]

T5. Two weeks ago, Tamworth won growth funding to regenerate its town centre and build an enterprise and creative quarter. Will my hon. Friend say what more the Government can do to help our creative industries and allow Tamworth to take full advantage of this wonderful opportunity?

[Clive Efford (Eltham) (Lab)]

It has not been a good week for the Secretary of State, but it has been a good week for entertainment and sports fans. If the Government had listened to us, thousands of fans buying tickets for the rugby world cup, the Ashes and many other events would have been saved from having to pay several times the face value for tickets that were hoovered up by organised gangs of touts. Everyone accepted our argument that action was needed on secondary ticketing, except for the Secretary of State, who should have been representing those fans. Will he ensure that the measures in the Consumer Rights Bill will be implemented without delay? While he is at it, will he come to the Dispatch Box and apologise to the fans he has so badly let down?

[Sajid Javid]

My view on this issue has not changed. Consumers must always be put first. That means that they should be allowed to sell tickets that they no longer need, and that fans who were not able to get them the first time should be able to buy them. Those principles have not changed. However, we were not prepared to jeopardise the Bill’s safe passage through the House and accepted the amendment. The important thing is to see how it works in practice. The amendment includes a statutory review, which I hope will look at all the issues, and we will see how it actually works.

--- Later in debate ---

[Adam Afriyie]

Absolutely. I am delighted that in Old Windsor and across the constituency, 2,000 more people are now connected to superfast broadband. Will Ministers continue the roll-out and, in particular, focus on satellite technology, which can bring a better experience, even when we are doing constituency correspondence?

[Sajid Javid]

First, I encourage my hon. Friend’s spouse to ensure that the family filters are turned on in the Afriyie household. His point about the greater use of satellite technology throughout the UK is well made. That is something that we are actively looking at.

[Kerry McCarthy (Bristol East) (Lab)]

T2. The Music Venue Trust will launch its report on the challenges faced by small and medium venues at an event that I am hosting in Parliament on 9 March. What value does the Secretary of State place on the importance of the live music circuit to the UK’s world-dominating music industry? If he is not able to drop in on 9 March, may I send him a copy of the report, so that he can hear the concerns about the challenges facing venues?

[Sajid Javid]

The hon. Lady makes an important point. I will see whether I or the Minister for Culture and the Digital Economy can drop in on 9 March. She has campaigned actively on behalf of venues in her constituency, some of which I know well. I went to The Fleece during my youth in Bristol. She is a great champion for such venues and I hope that we can work together on these issues.

[Caroline Dinenage (Gosport) (Con)]

T8. Further to the comments of my hon. Friend the Member for Isle of Wight (Mr Turner), does the Minister agree that the decision of the International Paralympic Committee to exclude sailing from the Tokyo games in 2020 is not only an enormous setback for that important British sport, but will rob us of the next generation of inspiring sailing sportsmen, such as Fareham’s Geoff Holt?

--- Later in debate ---

[Iain Stewart (Milton Keynes South) (Con)]

Women have traditionally been under-represented in the classical music world. Will my right hon. Friend the Secretary of State therefore congratulate Milton Keynes city orchestra on organising a special concert under the baton of Sian Edwards on international women’s day to recognise the huge talent of women in classical music today?

[Sajid Javid]

I join my hon. Friend in warmly commending the Milton Keynes city orchestra. I have three young daughters who all learn instruments, and I know that they take huge inspiration from seeing more and more women in orchestras and in music, which I warmly encourage.

[Tom Greatrex (Rutherglen and Hamilton West) (Lab/Co-op)]

T6. Although it is not a universally rewarding experience being an away fan following Fulham, it is certainly the case that travelling supporters bring vibrancy, atmosphere and colour to football fixtures. Given the largesse that now exists in the Premier League, does the Minister agree that it would be a good measure for clubs to take to ensure that there is a cap on the price of standard away tickets, so that some of the benefit of the additional TV revenue comes to the fans who help make the atmosphere of the games?

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[Mr Graham Allen (Nottingham North) (Lab)]

T9. Will the Secretary of State welcome tomorrow’s meeting in Nottingham between “Get Creative”, from the BBC, and “What Next?”, which is organised locally? Will he also underline the strong commitment that he gave me at the last Culture, Media and Sport questions that he considers arts, culture and heritage just as important for the outer cities as for the often oversubscribed inner cities?

[Sajid Javid]

I wholeheartedly agree. The hon. Gentleman has teamed up with two excellent organisations, and I wish him well.

The Minister for Women and Equalities was asked—

Oral Answers to Questions

Sajid Javid Excerpts

Thursday 15th January 2015 Commons Chamber

[Henry Smith (Crawley) (Con)]

1. What estimate he has made of the contribution of tourism to the economy.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

The Office for National Statistics estimates that the direct contribution of the tourism sector to the economy in 2013 was £56 billion. Taking account of indirect benefits, Deloitte estimates that in the same year the sector was worth £127 billion gross value added to the UK economy, supporting 3.1 million jobs.

[Henry Smith]

I welcome that response. As my right hon. Friend will know, Crawley contains Gatwick airport, which is a major gateway to the UK. What more can the tourism industry do to ensure that people coming to the UK travel on to other destinations and take advantage of the many benefits and tourist attractions in Crawley and West Sussex?

[Sajid Javid]

My hon. Friend raises an important point. He will be aware that Gatwick is already a major local economic driver, generating some 23,000 jobs at the airport alone, and he is right to ask what more it could do to attract visitors to Crawley and Sussex. He will be aware of Visit Sussex, and I encourage the town to work more closely with that and with Tourism South East, to see what more it can do to show its local attractions.

[Tracey Crouch (Chatham and Aylesford) (Con)]

The Secretary of State will be aware that across Kent tourism accounts for the direct employment of nearly 65,000 people. Tourism VAT rates across the EU are much lower than in the UK, and if VAT on accommodation was reduced to 5% that would boost jobs and bring a further £1 million into Kent. What conversations has he had with the Treasury about the benefits of a future cut to VAT, as that would bring jobs and growth into Kent and the UK as a whole?

[Sajid Javid]

My hon. Friend has raised that issue before and I know she feels passionately about it. She will know that tax is an issue for the Treasury, and we have ongoing discussions with the Treasury on a number of issues. I am sure she will join me in welcoming the fact that in 2013, because of the support the Government have provided to the sector, we saw record levels of tourism, and it looks as if 2014 will be another record year.

[Roger Williams (Brecon and Radnorshire) (LD)]

Tourism is particularly important in rural areas. What can we do to encourage VisitBritain to highlight the excellent hotels, holiday accommodation and visitor attractions in rural Wales, and indeed the entire west of England, to make it a tourist destination for people coming from abroad?

[Sajid Javid]

My hon. Friend is right to say that tourism is vital for local economies, and I have a big ambition to get more people out of the cities and visiting our fantastic countryside. He will be pleased to know that one week from today we will launch the Countryside is Great campaign in New York, with the fantastic Katherine Jenkins performing. That will help make clearer to international tourists exactly what our fantastic countryside has to offer, including in Wales.

[Mr Graham Allen (Nottingham North) (Lab)]

2. What steps he is taking to encourage the development of creative industries to help regenerate outer-city estates.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

Economic estimates for the creative industries published this week have shown that the sector plays a leading role in our long-term economic plan. The figures estimated that in 2013 there were 84,000 jobs in the creative industries in the east midlands, and the Government continue to work closely with the sector so that it can produce further jobs and growth across Britain.

[Mr Allen]

Welcome as those figures are, does the Secretary of State agree that there is sometimes an imbalance with the creative industries necessarily being located in the inner cities, city centres and business districts for tourism, heritage and media, and that very few go to the outer-city estates and working-class areas of the sort I represent? I chair the Rebalancing Nottingham North charity. Will he find some time in his busy diary to meet me and discuss how we can balance the expansion of creative industries so that everyone can benefit?

[Sajid Javid]

The hon. Gentleman is right to highlight that important point, and I commend his excellent work in taking forward the Rebalancing the Outer Estates Foundation. He will know that the Arts Council supports many regions around the country and helps with that rebalancing effort, but there is always more we can do, and I or the Minister for Culture and the Digital Economy would be happy to meet him to take that issue forward.

[John Robertson (Glasgow North West) (Lab)]

The BBC has an excellent building in Glasgow, as does STV, and a lot of money has been put in by these large companies. One thing that has been missed is localism within the creative industries, and although a certain amount of action is supposed to take place outside the M25 corridor, we are not seeing that north of the border.

[Sajid Javid]

I referred earlier to a report published this week, which shows strong growth in the creative industries throughout the UK in every region, including Scotland. I encourage the hon. Gentleman to take a look at it. If he has any fresh ideas that he thinks we should look at, I would be happy to speak to him.

[Kerry McCarthy (Bristol East) (Lab)]

3. What discussions he has had with the Chancellor of the Exchequer on the effect on musicians and other creative professionals of EU proposals to change the way VAT is charged on digital services.

--- Later in debate ---

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

8. What steps he is taking to increase investment in film, theatre and the arts in the UK.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

The Government have an excellent record of creating new opportunities for investing in the arts and creative industries. Following the success of UK film tax credits, which have generated billions in investment since 2010, we have introduced new tax reliefs for TV, video games, animation and theatres, and continue to invest in skills and innovation.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

Huddersfield Town, one of the most famous football clubs, plays in blue as well.

There are some very good things going on in the arts, such as the international film awards. But the community arts scene, certainly in places such as Yorkshire, is really feeling the pinch. A lot of our talent starts off in little community groups and grows but there is an absolute desert at the grass roots of the arts for lack of funding.

[Sajid Javid]

First, I welcome the hon. Gentleman’s support for what has been achieved in the arts under this Government. He makes a good point. If I remember correctly, he raised recently the issue of social investment tax relief, which can help community arts activities as well as other charitable activities. He had called for an increase in the cap and he will know that the Chancellor announced just that in the last autumn statement. He can see from that that the Government are listening and doing what we can to help community arts.

[Miss Anne McIntosh (Thirsk and Malton) (Con)]

I congratulate the Government on their investment through tax credits and the wonderful boost that that has given to the UK film industry. Will he join me in celebrating the investment made by small cinemas such as the Ritz in Thirsk and the Palace in Malton to bring digital cinema to a wider rural community and giving people a great night out?

[Sajid Javid]

I support everyone having a great night out and if the Government can help with that, it is a good thing. But seriously Mr Speaker, my hon. Friend is right to point out the support that the Government have provided to the film industry. Just in the last year, the Government have helped support over 300 films made in the UK with expenditure of almost £3 billion across the country, which is a good thing for us all.

[Simon Danczuk (Rochdale) (Lab)]

Does the Secretary of State agree that one way to increase investment in the creative industries is through retransmission fees? Where are we with the consultation on those fees?

[Sajid Javid]

We will be launching a consultation within weeks on this issue. I have spoken about it before, the last time being at the Royal Television Society. I agree that it is an important issue that has not been looked at for years. It is about time we did.

[Mr Philip Hollobone (Kettering) (Con)]

9. What progress he has made on improving mobile telephone coverage in (a) Northamptonshire and (b) England.

[Sajid Javid]

Last month we reached a landmark agreement with mobile operators to deliver improvements across the UK by 2017, including in England. This locks in £5 billion of investment and each operator will cover at least 90% of the UK landmass.

[Mr Hollobone]

Not spots are particularly frustrating not only for those who live in isolated villages where mobile phone coverage is often essential, but for those who are on the move by road or by train. What is the Secretary of State doing to tackle the problem of not spots?

[Sajid Javid]

My hon. Friend is right to raise the issue of trains and communications, which is why the Government have made a commitment to improve connectivity on trains. He may be aware that Network Rail is in the middle of a competition to work out the best solution to the problem. On Government support, my right hon. Friend the Secretary of State for Transport announced a few months back £53 million of funding for the programme, with money that Network Rail was supposed to return to the Government. I will also ask my right hon. Friend to give my hon. Friend an update.

[Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

The Secretary of State has taken some bold steps to push mobile telephone companies to increase coverage in not spots. However, even in areas such as mine in Shoreditch, with mobile coverage, wi-fi and broadband, there is a real issue about planning permission for buildings that are tall enough to allow other technologies to flourish. Will he update the House on conversations he is having or will be having with the Secretary of State for Communities and Local Government about changing planning permission to allow these other technologies to flourish?

[Sajid Javid]

The hon. Lady has raised an important issue. We are having ongoing discussions, and we have ongoing plans to improve the situation. As the hon. Lady may know, the deal that was announced last month with mobile phone operators included an agreement by the Government to give them access, at market prices, to Government-owned property on which we have the freehold, and I think that that is a positive step.

[Mr Nigel Evans (Ribble Valley) (Con)]

It seems rather bizarre that commercial airlines flying over the Ribble valley are now able to use mobile phones, while, below them, rural parts of my constituency have no coverage whatsoever. Will the Secretary of State encourage mobile phone operators to use the new technologies that are available, to ensure that rural England has full coverage?

[Sajid Javid]

My hon. Friend is right, but, as he will know, although the deal announced last month is voluntary, it is binding on each of the operators because of licence changes that are to be made. It will massively increase coverage throughout the United Kingdom, halving the number of what are known as partial not spots, and reducing the number of total not spots by two thirds. There will be improved coverage of data as well as voice.

[Chris Bryant (Rhondda) (Lab)]

Members on both sides of the House have rightly pointed out that not spots are not only infuriating for individuals but bad for businesses, especially small businesses, in many cities as well as rural areas. Unfortunately, the Government left it until the dying moments of this Parliament before taking action. What the Secretary of State described a moment ago as a landmark agreement is falling apart. Will he confirm that mobile network operators have told him, as they have told us, that he has reneged on the promises that he made about the electronic communications code—the amendments to the Infrastructure Bill that he has tabled at the last minute are wholly inadequate—and that he cannot tell the taxpayer whether this will cost us all £1 billion in lost revenues to Ofcom? Is not the truth of the matter that we now need a Labour Government to do the job properly?

[Sajid Javid]

Some things never change. I am afraid that the hon. Gentleman is clutching at straws. He has a reputation for opposing everything that comes before him, even if it is blindingly obvious that it will be great for everyone in the country. Given that he is new in his present role, having been kicked out of his old one, and that it is the start of a new year, we thought that he might have turned over a new leaf, but no such luck. I am sure, however, that he is intelligent enough to look at the deal carefully, and when he does so, he will see that it is a good result for everyone in the United Kingdom—including his constituents, who currently have some of the worst mobile phone coverage in the country.

[Diana Johnson (Kingston upon Hull North) (Lab)]

10. What assessment he has made of the effect of government spending on culture and the arts outside London.

--- Later in debate ---

[Douglas Carswell (Clacton) (UKIP)]

14. If he will increase sources of private finance and sponsorship for museums and galleries.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

This Government have done more than any of their predecessors to cultivate philanthropy and corporate sponsorship in support of our cultural sector. I commend all those individuals, businesses, trusts and foundations that support museums and galleries across the country.

[Douglas Carswell]

Museums and galleries right across the country—not just those in London—have never been busier or more successful. Does the Secretary of State agree with the principle of more tax breaks to encourage philanthropic support, and should the magnificent approach taken by the British Museum be encouraged by introducing wider tax breaks elsewhere?

[Sajid Javid]

The hon. Gentleman makes an important point. Tax breaks are part of the incentives and the action that the Government can take to encourage more giving. The cultural gift scheme is an example, as is the increase in the annual cap on tax relief that the Government have implemented. We have also simplified the gift aid scheme, but there is always more that we can do. If he has any ideas, I would be happy to listen.

[Andrew Jones (Harrogate and Knaresborough) (Con)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

The year 2014 ended on a high note for the Department as we secured a landmark deal to improve mobile phone coverage right across the UK. The new year has also got off to a good start: official figures released this week show that Britain’s creative industries grew at a rate of almost 10% in 2013 and delivered 66,000 new jobs. This is further proof that culture has a vital role to play in the Government’s long-term economic plan.

[Andrew Jones]

I thank my right hon. Friend for that answer. Superfast North Yorkshire has done a great job of rolling out superfast broadband across our county, making it one of the best connected in the country. I am now pressing for as many business parks as possible to be included in future plans. Does my right hon. Friend agree that it is vital for as many small and medium-sized businesses as possible to have access to superfast broadband so that they can conduct their business as efficiently as possible?

[Sajid Javid]

My hon. Friend has taken a strong interest in this issue on behalf of his constituents and I agree with him wholeheartedly. He is right to praise Superfast North Yorkshire; the project is making excellent progress. Phase 1 is expected to complete in March this year, taking coverage in the county to 87%. Phase 2 will increase coverage to 89%.

[Fiona Mactaggart (Slough) (Lab)]

T4. When research by the Responsible Gambling Trust reveals that a third of fixed-odds betting terminal users have a problem with gambling, is it not time to end the £100 maximum stake, which means that a person in my constituency can spend his whole income in just four spins?

[Mary Macleod (Brentford and Isleworth) (Con)]

T2. The Minister with responsibility for sport visited Osterley and Chiswick on Monday to meet some of Brentford football club’s community sports trust’s fantastic apprentices. Does the Secretary of State agree that apprenticeships in sport are incredibly valuable for building the knowledge and skills needed for a successful career in the industry, and that we should encourage even more of them?

[Sajid Javid]

I know that Brentford is having probably one of its best years on the pitch. I am pleased to say that the club has done excellent work off the pitch too, which the Under-Secretary, my hon. Friend the Member for Maidstone and The Weald (Mrs Grant), went to see for herself. I agree with my hon. Friend the Member for Brentford and Isleworth (Mary Macleod) on the importance of apprenticeships in sport and the great opportunity they offer for individuals to develop important skills. That is why I am pleased with the support that Sport England already provides. Brentford FC is a good example to many others, showing what clubs can do to help their local community.

[Pat Glass (North West Durham) (Lab)]

T5. The Minister and I entertained one another in a debate on nuisance phone calls about 18 months ago, when his response was, “It’s okay, guys. I’m on top of this. Something’s going to happen really quickly.” Since then we have had an action plan and lots of talking, but nothing has changed. When will he commit to a communications Bill to deal with the problem?

--- Later in debate ---

[Rory Stewart (Penrith and The Border) (Con)]

T8. I thank the Secretary of State very much for the focus that has gone on broadband in Cumbria. We have, however, faced a serious challenge with the European regional development fund. May I have his assurance that we will focus relentlessly on overcoming those problems to make sure that we can get the extension and deliver the broadband, as promised?

[Sajid Javid]

My hon. Friend has been working very hard on this issue, and I commend him for the work he has done on behalf of his constituents and for bringing this matter to my attention again and again. My Department is working closely with the Department for Communities and Local Government, Cumbria county council and BT to ensure that the problem is resolved. I can also tell him that, following initial discussions, I am confident that the project can be fully delivered to give a great result for residents and businesses in Cumbria.

[Kerry McCarthy (Bristol East) (Lab)]

Channel 4 has just launched its 360° charter, which is making a real commitment to improving diversity, to the extent that executives will lose their bonuses if they do not meet the targets. What is the Secretary of State doing to ensure that other companies follow suit?

[Sajid Javid]

The hon. Lady rightly raises a very important point. My hon. Friend the Minister for Culture and the Digital Economy was at that launch. I have spoken a number of times about seeing more diversity in the media. For example, I talked about it just last month on Radio 4, mentioning both the work that Channel 4 is doing, which is a huge improvement on the past, and that done by the BBC, Sky and others. More can always be done, and if the hon. Lady also has some ideas, I would be happy to talk to her.

[Mr David Heath (Somerton and Frome) (LD)]

I often ask questions about the provision of high-speed broadband in rural areas, but mobile phone coverage is just as bad. If I want to get a signal in my house, I have to clamber up on top of the kitchen unit or else trudge up the lane. Does the Minister realise that when we talk about 90% or 95% coverage, the 10% or 15% of people who are left out are always the same people—the people who live in rural Britain?

--- Later in debate ---

[Philip Davies (Shipley) (Con)]

After the great success of the Tour de France in Yorkshire last year, which gave an estimated £100 million boost to the Yorkshire economy, is the Secretary of State as excited as everybody else in Yorkshire about the route to be declared next week for the Tour de Yorkshire, the new international cycling race which is being introduced? Will he join me in congratulating Gary Verity on the role he has played in organising that, as well as on bringing the Tour de France to Yorkshire, and support my campaign for him to receive a knighthood in the next honours list?

[Sajid Javid]

I agree very much with what my hon. Friend says. I remember visiting the Tour and being hugely impressed by the participation; people of all ages turned out for that spectator sport. It has been a great thing for Yorkshire and the new initiative is very welcome. I very much agree with his comments about what Gary Verity has achieved for Yorkshire; my hon. Friend’s point should be looked at.

The Minister for Women and Equalities was asked—

Oral Answers to Questions

Sajid Javid Excerpts

Thursday 27th November 2014 Commons Chamber

[Mrs Sharon Hodgson (Washington and Sunderland West) (Lab)]

1. What representations he has received from secondary ticketing platforms and those working on their behalf on amendments on secondary ticketing made to the Consumer Rights Bill in the House of Lords.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

I have not had any specific discussions with secondary ticketing platforms on the amendments made to the Consumer Rights Bill in the other place.

[Mrs Hodgson]

May I offer my condolences on the very sad loss this morning of the cricketer Phil Hughes? The thoughts of the whole House will be with him and his family this morning.

The Secretary of State was very keen on our ideas to improve transparency in the secondary ticketing market when I and colleagues met him in July to discuss the report of the all-party group on ticket abuse. He must therefore be delighted, as I am, that their lordships have added a new clause to the Consumer Rights Bill to deliver exactly that, although, sadly, against the Government Whip. Will he lobby his counterpart at the Department for Business, Innovation and Skills to leave that new clause in the Bill, so that we can finally put fans first?

[Sajid Javid]

I was pleased to meet the hon. Lady to discuss the issue, but she knows, because we discussed it then, that the previous Labour Government, this Government and the Select Committee on Culture, Media and Sport have looked at the issue and all have concluded that new legislation is not necessary. Event organisers can seek their own solutions. However, I am of course looking carefully at the new clause that was accepted in the other place and will respond to it fully in due course.

[Philip Davies (Shipley) (Con)]

The new clause is similar to a new clause that was defeated in this House when the Bill was going through the Commons. Should not the elected Chamber get its way, rather than the unelected Chamber? Is not this all about allowing event organisers to void or cancel tickets and place people on blacklists, denying them any guaranteed refund, which has nothing to do with transparency or protecting the interests of consumers?

[Sajid Javid]

I thank my hon. Friend for his remarks. He and others will know that I have said that I believe that the calls for legislation have been misguided. Criminalising people and preventing them from selling tickets that they have purchased is a heavy-handed approach and is inconsistent with wider consumer rights to buy and sell items that they freely own.

[Clive Efford (Eltham) (Lab)]

May I associate myself with the comments of my hon. Friend the Member for Washington and Sunderland West (Mrs Hodgson) regarding Phil Hughes and also mention Sean Abbott, the bowler involved in that tragic accident, who must be feeling terrible?

The Secretary of State’s response is just not good enough. The Government have failed to act to protect rugby world cup fans and now the same is happening to cricket fans. Ashes tickets for the Lord’s test are on sale on the secondary ticketing market for £1,500, yet the ballot and the prices will not be available until next month. What is more worrying is that the Football Association, the England and Wales Cricket Board, the Rugby Football Union and the Lawn Tennis Association all wrote to the Secretary of State for Business, Innovation and Skills to warn him that unless the Government act they will be forced to put their prices up to secondary ticketing levels, so at least the money that is being made can be invested back into sport. That may be music to the Government’s free market ears but it is a disaster for sports fans on moderate and low incomes. When will the Secretary of State for Culture, Media and Sport get a grip and act? He must do it quickly.

[Sajid Javid]

The hon. Gentleman knows all too well that when his party was in office it failed to act on the issue. He will also know that the previous Government looked at the issue in detail, as did the Select Committee at that time, and all concluded that it is for event organisers to take action. With newer technology, and technology improving all the time, there are probably more ways to do so.

[Mr David Nuttall (Bury North) (Con)]

Does my right hon. Friend agree that existing secondary market companies already provide safe and secure means for ticket holders to resell unwanted tickets and that they provide a level of consumer protection that will not be available if people are forced to go on to the black market on the streets?

[Sajid Javid]

I agree. People have rightly raised concerns about the sale of fraudulent or non-existent tickets and about people who provide misleading information. That is already a criminal act.

[Andrew Rosindell (Romford) (Con)]

2. What progress he has made on ensuring that the first world war is appropriately commemorated.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

The events my Department hosted on 4 August set a fitting tone and this month my right hon. Friend the Prime Minister announced a memorable and dignified programme of events to commemorate the Gallipoli campaign. We are also offering further programmes that allow local communities to mark the centenary in their own way.

[Andrew Rosindell]

In this year of the 100th anniversary of the first world war, it is of course right that the ambassador of Ireland was asked to lay a wreath for the first time ever at the cenotaph on Remembrance Sunday. As the Secretary of State is responsible for the arrangements for the national service in Whitehall on Remembrance Sunday, will he please explain why it is still not possible for representatives of Her Majesty’s territories and dependencies to lay their own wreaths in their own right, and will he undertake to put this right for next year?

[Sajid Javid]

I agree wholeheartedly with my hon. Friend that it was absolutely right to invite the Government of Ireland to lay a wreath at the national remembrance day service. It was an opportunity to mark our nations’ shared sacrifice. My hon. Friend will also be aware that Her Majesty the Queen lays a wreath on behalf of our country and the Crown dependencies and the Foreign Secretary does so on behalf of British overseas territories. I have to tell my hon. Friend that at this point we have no plans to change these arrangements.

[Sir Bob Russell (Colchester) (LD)]

Christmas eve is the 200th anniversary of the ending of the North American war between the United States and the United Kingdom. Does the Secretary of State agree that that is also worthy of a fitting tribute, perhaps of celebration and not just commemoration?

[Sajid Javid]

My hon. Friend raises an important issue. It is not something I have looked at carefully, but now he has mentioned it, I will take a look.

[Maria Miller (Basingstoke) (Con)]

Our perceptions of the first world war have been shaped by historians but also by the artists of the time. The team at 14-18 NOW, in particular Jenny Waldman and Vikki Heywood, have helped artists today shape our commemorations of this important event. Blood Swept Lands and Seas of Red at the Tower of London is part of the 14-18 NOW work and I am sure the Secretary of State will want to join me in putting on record the thanks of the entire House to the incredible team of volunteers who have made this happen.

[Sajid Javid]

I wholeheartedly join my right hon. Friend in commending them for the work they have done. The poppies at the Tower captured the imagination of the whole nation. I had the privilege of planting a poppy myself, and I was pleased that the Government could act with 14-18 NOW to make sure part of that poppy display will now tour the country over the next four years.

[Jake Berry (Rossendale and Darwen) (Con)]

A lot of the questions today have been about national acts of remembrance, but I hope Members will take the opportunity to remember the 100th anniversary in their own constituencies. Will the Secretary of State join me in congratulating Brent Stevenson, a monumental mason from Darwen, who, free of charge, is providing a new world war one memorial in the centre of Darwen?

[Sajid Javid]

Yes, I will. I have heard of the work Brent Stevenson is doing and I wholeheartedly commend that. My Department and the Department for Communities and Local Government are helping to provide funding and other ways of support to local communities to commemorate the war in their own way.

[Mr Speaker]

Michael Connarty. Not here.

--- Later in debate ---

[Guy Opperman (Hexham) (Con)]

6. What progress he has made on ensuring that mobile network operators and broadband providers provide adequate coverage in rural areas of Northumberland.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

As we have heard, mobile communication is critical to the rural economy. We are therefore working with Ofcom to identify gaps in mobile coverage, and I have consulted on potential measures to tackle patchy coverage. In addition, the Government have allocated £9.5 million to increase superfast broadband coverage in Northumberland to almost 90% by 2016.

[Guy Opperman]

I accept that we are making progress in Northumberland, but my constituents in many parts, such as Kielder, Dalton, Stamfordham, Stocksfield and Byrness, suffer from very poor mobile and broadband reception, or zero coverage. May I ask the Minister to visit soon, to push BT and the other providers and, frankly, kick ‘em up the arse, and generally to push ahead so that we have a campaign whereby there are no no-go areas and no go-slow areas?

[Mr Speaker]

I think “posterior” would be a more parliamentary word.

[Sajid Javid]

I share my hon. Friend’s frustration, but perhaps not in the same way! My Bromsgrove constituency has areas with similar coverage problems, so I can absolutely see the importance of the issue he is raising and how big the problem is for towns such as Kielder. I look forward to visiting Northumberland soon and I will apply whatever pressure I can to BT and others to end this scourge of not spots and poor, slow broadband speeds.

[Sir Alan Beith (Berwick-upon-Tweed) (LD)]

Innovative small business in my constituency, such as Shepherds Walks in Rothbury, have doubled their business as a result of the availability of superfast broadband under this valuable scheme. The remaining areas have businesses that could do the same if they were given a chance, so can he report any progress on alternative technical solutions for the most difficult-to-reach areas?

[Sajid Javid]

My right hon. Friend is absolutely right about the impact that superfast broadband can have on businesses, helping them to grow. As he will know, there is a phase 3 to our broadband plan, which is the so-called “last 5%”, and we are working on that simultaneously—we are not waiting for phases 1 and 2. We are working on that right now, and we recently had a £10 million programme to test the feasibility of various projects. We are looking into the results and seeing what can be done.

[Diana Johnson (Kingston upon Hull North) (Lab)]

7. What plans he has to bring forward legislative proposals to bring ratings for music videos online into line with British Board of Film Classification standards.

--- Later in debate ---

[Mr Robin Walker (Worcester) (Con)]

11. What recent funding his Department has provided for the fabric of cathedrals in England.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

In this year’s Budget, the Chancellor announced a £20 million fund to allow cathedrals to undertake urgent repair work. As my hon. Friend knows, that included £330,000 for the beautiful Worcester cathedral. In addition, cathedrals have access to the listed places of worship grant scheme, which has a budget of up to £42 million per annum.

[Mr Walker]

I am grateful for that answer. May I add my condolences on the tragic death of Phil Hughes, who is fondly remembered in Worcestershire, where he used to play?

I was pleased recently to welcome the Secretary of State to Worcester cathedral for a magnificent performance of Shakespeare. Will he join me in celebrating the fact that, in the year that Bishop John of Worcester has taken the lead for the Church of England on cathedrals and church buildings, the east window at Worcester cathedral will be being restored with that grant of £330,000?

[Sajid Javid]

May I first say to my hon. Friend that I thoroughly enjoyed visiting the cathedral with him and seeing “Julius Caesar”. It is an excellent demonstration of how our cathedrals can be open to so many activities in our local communities. In fact, I have seen similar events recently at Rochester and Portsmouth cathedrals. With regard to Bishop John, I was actually just discussing that very matter with His Grace the Archbishop of Canterbury yesterday, and I join my hon. Friend in warmly congratulating the bishop on his position.

[Sir Tony Baldry (Banbury) (Con)]

I warmly thank the Secretary of State for the £20 million grant for cathedrals, which has enabled some 41 cathedrals to carry out various works and repairs from fixing leaking roofs, repairing stained-glass windows and spires and carrying out many other important works to enable them to commemorate the centenary celebrations. Does my right hon. Friend agree that cathedrals are powerful symbols of our shared history and are also the envy of the world? They bring in many tourists, so this investment by the state in our cathedrals is great value for taxpayers.

[Sajid Javid]

Yes, I agree fully with my right hon. Friend. He will know that of the £20 million we allocated in that grant, £13 million has been used so there is still about £7 million left to go. I urge other cathedrals to take advantage of that and to work to help their local communities.

[Damian Collins (Folkestone and Hythe) (Con)]

12. What assistance his Department has provided to sports bodies to encourage world-class sporting events to be held in the UK.

--- Later in debate ---

[Jake Berry (Rossendale and Darwen) (Con)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Culture, Media and Sport (Sajid Javid)]

May I begin by saying how saddened I was to learn this morning that the young Australian cricketer Phil Hughes has died. I am sure that I speak on behalf of the whole House in saying that our thoughts are with his team mates, his friends and his family.

I take this opportunity to congratulate Lewis Hamilton on his second Formula 1 world title, to applaud the record crowd that supported England’s women at Wembley this Sunday and to wish a happy 20th birthday to the national lottery.

[Jake Berry]

Today is Lancashire day, when we celebrate all that is great about the red rose county. Will my right hon. Friend join me in celebrating Lancashire, and encourage people to come and visit our tourist attractions such as East Lancashire railway, Healey Dell and Turton Tower, as well as the other tourism jewels in the red rose county?

[Sajid Javid]

I will wholeheartedly join my hon. Friend, not least because I was born in Lancashire and it is my home county, so I know more than most, perhaps, about everything that Lancashire has to offer by way of attractions, sites and heritage. Lancashire day is a fantastic day to showcase that.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

T2. The Secretary of State knows a lot about social investment tax relief. I worked happily with him on many aspects of crowdfunding, and he knows that crowdfunding provides an amazing opportunity for people to get together to start cultural and artistic events and raise the money for that. Will he have a quiet word with his old boss, the Chancellor of the Exchequer, about increasing the cap on social investment tax relief before the autumn statement?

[Sajid Javid]

The hon. Gentleman will have to wait to see what is in the autumn statement, but he raises an important point. I remember the discussions we had about crowdfunding, and he is right about the importance that it has for businesses and for cultural activities. I have discussed that on many occasions with colleagues.

[Mark Pawsey (Rugby) (Con)]

T4. My right hon. Friend will be aware that the town of Rugby is the birthplace of the great game in which England’s men were world cup winners in 2003 and they were awarded the freedom of the borough of Rugby. Will he join me in congratulating England’s women rugby players on winning their world cup earlier this year and on their award of the freedom of the borough of Rugby, which will be made at a ceremony in Rugby next month?

--- Later in debate ---

[Mr John Leech (Manchester, Withington) (LD)]

Does the Secretary of State agree with the hon. Member for North West Leicestershire (Andrew Bridgen) who said last week that £2.80 or so a week for the BBC

“is tremendous value, but only if you watch it.”

Given that over 96% of people access the BBC every week, does that not show what good value the licence fee is?

[Sajid Javid]

Like my hon. Friend, I am very proud of the BBC. It is well respected not just at home, but abroad, and rightly so. However, we have to recognise that there have been serious changes in technology over the past decade, and when the charter review takes place, all issues should be looked at, including those raised by colleagues.

[Mr Stephen Hepburn (Jarrow) (Lab)]

T7. On the 20th anniversary of the national lottery, it is a fact that twice as many households in the north-east play the lottery, compared with London, but the region receives only half the grants that London gets. Does the Minister think that is fair?

[Oliver Colvile (Plymouth, Sutton and Devonport) (Con)]

May I add my condolences to those already expressed on the death of Phil Hughes? I declare an interest, as my brother is Sky television’s cricket correspondent.

I thank my right hon. Friend the Secretary of State for meeting me and a delegation from Plymouth earlier this month to talk about Mayflower 2020, the anniversary of the founding of the American colonies. Does he agree that Mayflower 2020 could contribute similar levels of growth in Devon and Cornwall to those we have seen from the “Gathering” in Northern Ireland and Ireland?

[Sajid Javid]

I was pleased to meet my hon. Friend and representatives from his constituency to discuss that important point in history, which I think it is right to mark. Another good reason to look at it is that it could do a lot for the local economy.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

Five years ago the previous Labour Government made a commitment on universal broadband access for everyone. The Minister might talk superfast, but the fact is that up and down the country people and businesses are waiting to get decent broadband so that they can carry on their business and that essential part of their lives that is now lived online. What is he going to do about it?

Oral Answers to Questions

Sajid Javid Excerpts

Monday 16th January 2012 Commons Chamber

[The Parliamentary Under-Secretary of State for Education (Tim Loughton)]

The hon. Lady is a long and tireless advocate of the promotion of youth services and she has rightly pointed to the section of the Education Act 1996 that places that duty on local authorities. We are looking to rewrite that duty and streamline it to ensure that local authorities cannot shirk their responsibility to ensure that positive activities are available for young people in their area, and that it is clearly understood.

As part of “Positive for Youth”, I have said that we will look closely at what activities for young people are going on in local authority areas and I invite young people to ensure that they are auditing the youth offer in their areas and reporting back to the centre. That is part of “Positive for Youth” and I hope that she will encourage young people in her area to do that.

[Sajid Javid (Bromsgrove) (Con)]

T9. British banks employs hundreds of thousands of people and many of them are hard-working young people. Does the skills Minister agree that it would be a fantastic achievement to see an apprentice in every branch of every high street bank, and what can he do to help achieve this?

[The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)]

There are few greater champions of apprenticeships or learning in this House than my hon. Friend, although I notice my hon. Friend the Member for Gloucester (Richard Graham) sitting next to him, and he is just as worthy a champion. Just this week I will meet banks to discuss exactly what my hon. Friend the Member for Bromsgrove (Sajid Javid) proposes. It is right that apprenticeships are seen as a route into the professions, and we will make them just that.

Apprenticeships

Sajid Javid Excerpts

Monday 19th December 2011 Commons Chamber

[Mr Hayes]

My hon. Friend will know that in his constituency of Burton, apprenticeship numbers have risen by 76%. He will know, too, that that rise is due to the excellent work of his local further education college, with which I have had regular dealings.

My hon. Friend is right to argue that it is important that we take account of those who do not have the prior attainment to get on to a level 2 qualification. That is precisely the point that I was making a few moments ago, when I spoke about pre-apprenticeship training. To be clear, I said that those achieving a level 2 qualification must meet the standards in maths and English. There is an absolutely proper argument that we need steps on the ladder before people get to level 2, to allow for the re-engagement of those who are currently not able to get a job.

Thirdly on quality, we will continue to raise quality through consumer empowerment and transparency by improving employer and learner access to objectives and comparable information on providers.

I can also announce today additional steps that I am taking to raise the bar of apprenticeship standards even higher and to root out poor quality where it exists. All apprenticeships should involve a rigorous period of learning and the practice of new skills. If the standards are sufficiently stretching and the expectations of competence high, I believe that a course should naturally extend over at least 12 months. That will be the expectation first for 16 to 18-year-old apprentices from August 2012, as new contracts to training providers are issued. I have asked the National Apprenticeship Service to assess the implications of extending that to apprentices of all ages, taking account of the fact that older apprentices typically have greater prior attainment, as has been said. That will also allow time for our raised expectations on English and maths standards to be achieved. I am mindful of the comments of my hon. Friend the Member for Burton (Andrew Griffiths) in that regard.

Alongside that, I have asked the National Apprenticeship Service to work with the Alliance of Sector Skills Councils to tighten guidance for those who are developing apprenticeship frameworks to ensure that expectations on national standards and rigour are met, and to take action where frameworks are insufficiently stretching. In the current economic times, we must be more vigilant than ever to ensure that funding delivers value and is properly spent. I am mindful of the remarks of the Chairman of the Business, Innovation and Skills Committee. We must crack down when there is evidence that public money is not being spent properly. Action is in hand to review cases where there is concern. Our resolve is to ensure that every penny of public money delivers high-quality apprenticeships and to continue to weed out failure and weakness wherever they are found. I know that the Select Committee is about to launch an inquiry into apprenticeships. I will make the evidence available in my submissions to that inquiry, giving a clear timetable of action and details of the steps we intend to take to root out poor provision.

The Skills Funding Agency will tighten the contracts with colleges and other training providers to allow the immediate withdrawal of funding from provision where quality standards are not met. I am mindful of the comments of the former Chairman of the Children, Schools and Families Committee, the hon. Member for Huddersfield.

Members are aware of the scale of the crisis in public spending that this Government inherited and of the sometimes painful measures that we have had to take to deal with that. The fact that even in these circumstances we have increased spending on apprenticeships is a clear demonstration of our belief in the economic and social value of this form of training, and in the talent and potential of our young people. On 17 November, we set out a clear commitment to focus growth where the returns are greatest, both in terms of age groups and sectors. For example, there is evidence that younger apprentices see the greatest benefits. We will expect the National Apprenticeship Service, employers and providers to focus their efforts on those groups. Accordingly, I am asking the National Apprenticeship Service to target more actively, through marketing and other operational levers, the learner groups, qualifications and sectors where apprenticeships deliver the greatest benefits.

In addition, to widen the effort to create more and better apprenticeship opportunities and to grow the programme among SMEs, from April 2012 we will offer up to 40,000 incentive payments of £1,500 for small employers who take on their first young apprentice. Sufficient funding was already available for next year to support at least 20,000 incentive payments in respect of apprenticeships for young people. An additional fund will be made available to support a further 20,000, meaning that in total there will be 40,000 incentive payments. The payments will be targeted to provide additional apprenticeship opportunities for young people who are ready for employment with small employers that have not been engaged with the programme previously.

I said at the beginning of my remarks that what distinguishes this Government from the previous one is that apprenticeships are at the heart—at the very core—of our approach to skills. We want to build a ladder of opportunity that stretches from re-engagement to the highest skilled levels, with apprenticeships filling a bigger space. We will redefine what we mean by higher learning. In future, our vision of higher learning will extend out from the university classroom or laboratory into the workplace. Because I want a vocational pathway as rigorous, accessible and progressive as the academic route, on 1 December we announced that £18.7 million from the higher apprenticeship fund will support the development of 19,000 new higher apprenticeships in key growth sectors, including construction, renewable energy, advanced engineering, insurance and financial services.

[Sajid Javid (Bromsgrove) (Con)]

I am glad that my hon. Friend is setting out plans to increase higher apprenticeships, because for many young people that is a better route to successful employment than a university degree. For the benefit of the House, will he outline how many higher apprenticeships were created by the previous Government?

[Mr Hayes]

I do not want to be excessively critical of the previous Government. I made that clear at the outset. I said that I would not be more partisan than was necessary to illustrate the extent of our achievement.

In answer to my hon. Friend, let me point out that in 2008-09 there were fewer than 200 higher apprenticeships. With the announcements that have already been made and the relaunch of the higher apprenticeship fund in January for its next phase, I estimate that in this Parliament we will create 25,000 higher apprenticeship places. From 200 places to 25,000 is an extraordinary and remarkable achievement, for which the Prime Minister, the Chancellor, employers, learners and providers can take an immense amount of credit, and for which I can take just a little credit too.

Oral Answers to Questions

Sajid Javid Excerpts

Thursday 8th December 2011 Commons Chamber

[Mr Willetts]

That is a very interesting idea. It is absolutely right that British satellite technology plays a greater role than is recognised in ensuring that we have information about the sites of disasters. Earlier this year we chaired the disaster monitoring committee, which ensured that satellite images were immediately available after the tsunami in Japan and after disasters elsewhere in the world. There are certainly imaginative ideas through which this role could be enhanced.

[Sajid Javid (Bromsgrove) (Con)]

11. What steps he is taking to promote adult and community learning.

[The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)]

The Government are enthusiastically committed to adult and community learning. That is why we have protected the £210 million a year adult safeguarded budget. On 1 December we announced our intention to devolve its planning and accountability, so that local people are at the heart of deciding the learning offer. We will pilot different community learning trust models in 2012-13.

[Sajid Javid]

The Minister has been an excellent advocate of adult community learning. May I ask him how his pilot on community learning trusts is working at the moment? In particular, how has he engaged local communities to improve adult community learning?

[Mr Hayes]

We know, as W B Yeats knew, that education lights a fire that burns brightly. It certainly burns brightly in the hearts of Ministers. We have much to do in respect of adult community learning, which was derided by the last Government as mainly holiday Spanish. That was how the former Secretary of State described it. We will work with local communities. The first meeting to discuss models and timings will take place one week from today, and we intend to publish a prospectus in spring 2012. We are delivering.

--- Later in debate ---

[Vince Cable]

Many businesses, as I have just said, receive substantial tax cuts, which is absolutely right. As the economy progresses, there will be more, and there is also an exercise in tax simplification, the results of which will be announced at the beginning of next year.

[Sajid Javid (Bromsgrove) (Con)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Business, Innovation and Skills (Vince Cable)]

The Department has a key role in supporting the rebalancing of the economy and business, to deliver growth while increasing skills and learning.

[Sajid Javid]

May I thank the Minister for Further Education, Skills and Lifelong Learning for visiting my constituency of Bromsgrove and opening a £3.5 million extension to North East Worcestershire college? Will he update the House on what other investment plans he has for colleges up and down the country, and how that will promote young people’s life chances?

[The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)]

I said a few moments ago that we have made £100 million available. It will be spent quickly, and that will affect colleges across the country. I should like to thank my hon. Friend for being such a generous host when I visited NEW college in his constituency. My hon. Friend the Member for Redditch (Karen Lumley) was in attendance as well, because the college serves both constituencies. On that occasion, I had an opportunity to ride a Harley Davidson motorbike, and like that bike, the career of my hon. Friend the Member for Bromsgrove (Sajid Javid) is powerful, speedy and impressive.

Oral Answers to Questions

Sajid Javid Excerpts

Monday 21st November 2011 Commons Chamber

[Michael Gove]

I am grateful to the right hon. Gentleman, but I should say that this matter is under consultation at the moment. I should also say that the Association of School and College Leaders, the National Association of Head Teachers and every representative of head teacher opinion says that the current funding system needs to be reformed. Once again I say to him—now that he is, sadly, no longer in the shadow Cabinet—that it is not enough for Labour Members simply to ask for more; they have to push for reform as well as demanding more cash.

[Sajid Javid (Bromsgrove) (Con)]

On that note, school children in my constituency of Bromsgrove will receive £1,000 less per head this year than those in neighbouring Birmingham. Does my right hon. Friend agree that that is because under the previous Government school funding was allocated on the basis of party politics and not need?

[Michael Gove]

As we say in Scotland, “Facts are chiels that winna ding.” The truth is that the current system of school funding is inequitable. The Institute for Fiscal Studies has made that case most powerfully recently.

Oral Answers to Questions

Sajid Javid Excerpts

Thursday 27th October 2011 Commons Chamber

[Mr Speaker]

We always enjoy the lyricism of the Minister.

[Sajid Javid (Bromsgrove) (Con)]

Having recently served a one-year apprenticeship by the side of the Minister for Further Education, Skills and Lifelong Learning, I am not surprised by the excellent numbers that were released today on apprenticeships, as his dedication is second to none. May I ask him to say a word on the increase in level 3 apprenticeships, which are equivalent in qualification to A-levels?

[Mr Hayes]

My hon. Friend has gone on to other, I am tempted to say greater, things since he served that apprenticeship, and he is right to draw attention once again to the increase at level 3, because there were those, largely drawn from the bourgeois left, who looked down their noses at practical learning and who thought that the most growth would be at level 2, but actually we have facilitated very substantial growth—over 60%—at level 3 as my hon. Friend says. It is a rosy day for the Government and, much more importantly, a rosy day for Britain.